(Reuters) - Swiss investment bank UBS said on Friday it will divest its Quantitative Investment Strategies (QIS) business to Manteio Partners LLC and its affiliates.

The QIS portfolio management team, which oversees funds and mandates worth about $1.5 billion, will transfer to Manteio and operate as a distinct group within the company, UBS said in a statement.

The transaction is expected to close in the fourth quarter, it added.