Founded in 1990 by Margaret Lawson and Colin McLean, the fund supervisor holds £586m in belongings beneath administration throughout 5 open-ended funds and an funding belief.
Subject to completion, AssetCo will buy the group by the difficulty of as much as £9m of 1% fastened price unsecured convertible mortgage notes in itself, plus an extra £1.7m in money, to be paid on completion.
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The notes could also be transformed into abnormal shares in AssetCo at an efficient difficulty value of £14.50, or might be repaid on 31 December 2023.
Gilbert, together with deputy chair Peter McKellar, and listed fairness platform River and Mercantile CEO Alex Hoctor-Duncan, will be a part of the board of SVM on completion.
McLean will develop into a director of AssetCo’s Scottish enterprise, whereas Lawson will proceed in her function as supervisor, as will world and UK funding director Neil Veitch and European funding supervisor Hugh Cuthbert.
The buy will deliver AssetCo’s listed fairness fund AUM to £3.5bn, and the agency has cited “significant opportunities to enhance the distribution and marketing of SVM’s existing funds”, including it might broaden the product providing.
SVM will even “spearhead” AssetCo’s Edinburgh asset administration hub, as this acquisition brings the Scottish AUM to £800m.
Gilbert stated he was “immensely proud” to be constructing this hub and described SVM as a “well-regarded fund management firm with a recognised investment style and a very strong investment track record”.
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McLean added: “When I set up SVM our aim was to leverage quality research and strong fundamentals to underpin our independent thinking and deliver great investor value. I believe that our performance over the years demonstrates that we have been able to achieve this.
“I am pleased that with the backing of AssetCo we will be able to continue to build our focus on, and relationships with, existing clients, creating greater value for them, whilst also broadening our client base and growing assets.”
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