28th Jan 2022 08:43
(Alliance News) - abrdn PLC on Friday confirmed it sold 40.0 million shares in Phoenix Group Holdings PLC for GBP264 million.
The shares were sold at 660 pence per share, and the total sale represents a 4% stake in Phoenix. Plans for the sale were first announced late Thursday.
Following the settlement of the placing, expected on February 1, the Edinburgh-based investment company will hold a 10.4% stake in Phoenix, which is a London-based life and pensions consolidator.
abrdn said it intends to return the cash to its shareholders, with the timing of the return to be announced after the company's results on March 1.
In a separate statement, Phoenix said that, as abrdn's holding remains over 10%, the relationship agreement between the two companies will remain in place. This, Phoenix explained, entitles abrdn to appoint a director to Phoenix's board.
Phoenix said abrdn remains the company's "core strategic" asset management partner and continues to manage GBP165 billion of the group's assets under administration.
Goldman Sachs International acted as sole global coordinator and bookrunner in the placing.
Shares in abrdn were up 0.9% at 240.40p on Friday morning in London, while shares in Phoenix were down 4.0% at 658.80p.
By Heather Rydings; [email protected]
Copyright 2022 Alliance News Limited. All Rights Reserved.
Related Shares:
Phoenix Group HoldingsAbrdn