Occam brings with it the Occam Emerging Markets Opportunities, Occam Asia Focus, Occam Asia Absolute Return, Occam Sorbus, Occam Europe Focus and Occam Diversity funds. Liontrust European equity managers James Inglis-Jones and Gary West will take over the £28m Occam Sorbus and Europe Focus funds.
Occam Diversity is a fettered fund-of-funds proposition.
Money and management
In total, the acquisition will add £124m of assets to Liontrust’s existing £1.3bn in assets under management, itself up 33% from £984m at the end of last year.
The financial consideration for the acquisition will be 3% of Occam’s assets under management plus £187,500.
Occam brings £112m of assets in its Dublin-based range, with £12m in its hedge funds, as well as a distribution capability in continental Europe and the Middle East. As well as its European funds, Occam manages £65m in emerging market funds and £31m in Asian equities.
This would make the consideration just under £4m capped so that it will not exceed 25% of Liontrust’s market capitalisation.
Occam’s also brings management teams that include Thames River Nevsky co-founder Eoghan Flanagan, James Mellersh, a partner in Nevsky Capital and former F&C man Mark Williams.
Jonathan Hughes-Morgan, Occam’s founder and chief executive – he was also co-founder with Charlie Porter of Thames River Capital – will join Liontrust’s board as an executive director.
Positive sales
Liontrust chief executive John Ions describes the acquisition as a further stage in his firm’s expansion, coming as it does on top of net sales of £81m for the financial year ending on 31 March. This is the first time since the end of its 2004 financial year that Liontrust has been able to report a net positive sales position over a financial year.
He said: “The business now has the foundations from which to grow following the restructuring of the business, developing the brand, raising awareness and returning to net inflows. Having re-established these fundamentals, now is the right moment at which to make this acquisition, expanding our fund management capability and diversifying into new asset classes which are experiencing increasing investor interest.”
The deal is still subject to regulatory and shareholder approval.
