Another major GAM shareholder has joined the ranks of those opposed to the proposed takeover by Liontrust.
According to Bloomberg, GAM’s third largest shareholder Global Emerging Markets Group has said it is against the £96m takeover bid. The firm holds 6.5% of GAM shares, Bloomberg said.
This stance seems to align the investor with NewGAMe and Bruellan, the investor group which has been seeking to block the proposed deal since shortly after it was announced.
See also: Liontrust: John Ions urges GAM shareholders to back takeover
Last week, the two investors set out an ‘investment thesis’ which laid out why they believe the firm is worth double the Liontrust offer, and described the steps that GAM management should take instead.
This continued determination among some GAM investors for the firm to rebuff the takeover and proceed independently comes despite a further poor update from the Swiss-based firm.
See also: GAM investor group says firm worth double Liontrust’s offer
The asset manager revealed today it expects a wider pre-tax loss this year compared to a year ago, with the figure potentially jumping from CHF 15m (£12m) to CHF 23m (£20m).
GAM also said its assets under management have fallen by nearly a tenth to CHF 68bn (£60bn) since last December.
The takeover does have some significant support from other GAM shareholders. Silchester International Investors, with 17.3% of the firm’s shares, publicly backed it last week.
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