GAM has refuted claims its board misrepresented the terms of a partial cash offer made by investors NewGAMe and Bruellan.
The asset manager said it has also written to the Swiss Takeover Board in relation to statements made by NewGAMe on 25 July, which it said “have no merit”.
“As a public company GAM has an obligation to ensure that information it discloses is accurate and transparent,” GAM said in a statement. “The information disclosed in GAM’s press release dated 24 July 2023 was accurate and transparent.”
The GAM board also reiterated its strong recommendation that shareholders tender their shares into the Liontrust offer before it expires on 28 July.
See also: Liontrust removes FMS exit condition and extends GAM offer period
NewGAMe and Bruellan, which control approximately 9.6% of GAM shares, asked the Swiss Takeover Board to intervene in the takeover battle to “prevent GAM from spreading misleading information about the merits of NewGAMe’s partial cash tender offer”.
GAM told investors on Monday that the proposed partial cash offer made by NewGAMe for 17.5% of its shares is only relevant for a small proportion of shares held by GAM shareholders.
It added that the proposal includes a “highly questionable condition” that NewGAMe gets full control of the GAM Board, and also requires change of control approvals from various regulators.
GAM also claimed The Swiss Takeover Board should communicate a position on whether the proposed NewGAMe offer complies with Swiss takeover laws.
See also: Two thirds of professional investors think macro investing now ‘more relevant’
NewGAMe and Bruellan subsequently said GAM misrepresented the situation by making these comments.
“GAM states that the NewGAMe offer includes a highly questionable condition that NewGAMe gets full control of the GAM board and requires change of control approvals from various regulators,” the investors said. “What GAM does not say is that the Liontrust offer is subject to similar conditions.
“GAM also alleges that the takeover board will need to rule on whether NewGAMe’s offer complies with the Swiss takeover rules and that the timeline for doing so is unknown. This statement is deceptive. Its purpose is to instill doubt about the legality of NewGAMe’s offer, even though there is no basis for such a claim.”
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