30th Sep 2016 07:07
LONDON (Alliance News) - Emerging markets asset manager Charlemagne Capital Ltd said Friday it has agreed to a cash takeover offer from Fiera Capital Corp, in combination with a special dividend to be paid if the takeover is completed.
Charlemagne said the offer consists of 14 pence a share, 11p under the direct offer and 3p to be paid out in a special interim dividend scheme. The offer represents an approximate 17% premium to its closing share price of 12p on September 29, and a premium of 21% to the average share price of 11.59p in the thirty days leading up to that date.
The offer values Charlemagne at GBP40.7 million. Shares in Charlemagne Capital were up 8.3% at 13.00p early Friday.
Fiera Capital has already received irrevocable undertakings in respect to approximately 42% of Charlemagne shares to accept the offer and Charlemagne's directors are recommending the offer to their shareholders.
Chief Executive of Charlemagne Capital Jayne Sutcliffe said: "Fiera Capital is a performance driven, client-focused firm with a strong emphasis on teamwork. As such, Fiera Capital has committed to preserve and support the culture and infrastructure of Charlemagne Capital."
Details of the offer came the same day as Charlemagne released its interim results which showed the company swinging to a loss for the first half of the year.
Charlemagne booked a pretax USD952,000 loss for the six months to June 30, swinging from a USD51,000 profit the year prior, as revenue fell to USD9.1 million from USD11.8 million. During the period the company's total assets under management grew by 9.9% to USD2.08 billion at June 30 from USD1.89 billion at January 1.
By Adam Clark; [email protected]
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