Liontrust has pushed forward with its proposed takeover of GAM by publishing the deal prospectus.
This is a standard step in a takeover, but it comes despite continued opposition to the deal from a group of GAM investors.
Last week NewGAMe and Bruellan, who together own 9.2% of GAM, called for a meeting of shareholders to remove the board and elect a new one with a plan to turn around the business.
The investors have been adamant the deal is not in the best interest of GAM shareholders since shortly after it was announced, despite the GAM board recommending acceptance of the offer.
There appears to be a united front within GAM however, with senior portfolio managers having issued a letter voicing their “strong support” for Liontrust’s “highly credible” proposal.
The prospectus confirmed details of the deal such as the exchange ratio of 0.0589 Liontrust shares for each GAM share. It has also set a timetable for the offer of 28 June to 25 July.
In response to publication of the prospectus, GAM’s board reiterated its support for the takeover.
The results of the offer are to be published in August and completion of the deal is expected to take place during the fourth quarter of 2023.
