GAM plans £87m rights issue to shore up balance sheet as losses mount

Net outflows of £4.7bn

GAM Investments plans to raise up to CHF 100m (£87.5m) via a rights issue to shore up its finances after reporting heavy losses in a tumultuous 2023 for the firm.

In the twelve months to 31 December, the Swiss asset manager's IFRS net loss after tax stood at CHF 82.1m (£71m), compared with CHF 290 million (£253.4m) in 2022.  The firm also posted underlying losses before tax of CHF 49.5m (£43.3m), up from CHF 42.5m (£37.1m) in the previous year, due to lower revenues from a drop in assets under management.  GAM agrees CHF 100m loan with core shareholder GAM said the CHF 32.3m (£28.2m) difference between the underlying and the IFRS net loss after tax mainly relates to "brand impairment and strategic initiatives expenses".  According to data...