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

Issue of new shares

Kathleen Gallagher
clock • 1 min read
The amount paid to Majedie has fallen due to Liontrust's share price
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The amount paid to Majedie has fallen due to Liontrust's share price

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, when the deal completes on 1 April, 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. Today (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.  Industry reacts with mixed feelings over Liontrust-Majedie acquisition The drop in value is a result of Liontrus...

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