Liontrust to pay £51.4m less for Majedie as deal set to complete

Issue of new shares

Kathleen Gallagher
clock • 1 min read

Liontrust Asset Management will pay £51.4m less than the maximum price proposed for the purchase of Majedie Asset Management as the former's share price has fallen since the announcement, a stock exchange announcement has revealed.

At the time of the deal's announcement, the companies said the deal would be worth up to £120m, satisfied by the issue of up to £97m in new ordinary shares and up to £23m in cash to the shareholders of Majedie. On Tuesday (29 March), Liontrust said it would issue 3.7m new shares of 1p each to shareholders of Majedie. With Liontrust's share price now at £12.3 per share, the value paid to Majedie is £45.6m, the firm confirmed, £51.4m less than the £97m originally proposed.  The drop in value is a result of Liontrust's share price tumbling over recent months. It is down 41.3% over the pa...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Gangbusters? Why the UK market is not exceptional, yet

Gangbusters? Why the UK market is not exceptional, yet

‘Every market turnaround has to begin somewhere’

Laith Khalaf
clock 22 May 2024 • 4 min read
Navigating the intergenerational wealth shift with tokenisation

Navigating the intergenerational wealth shift with tokenisation

'Already gaining significant traction in fund management'

Stephen Ashurst
clock 21 May 2024 • 3 min read
Future of Investment Festival: Ten key reasons for advisers to attend

Future of Investment Festival: Ten key reasons for advisers to attend

Last call to financial advisers to join us on 5 June

Professional Adviser
clock 21 May 2024 • 2 min read