Revera AM takes 60% reduction as AssetCo deal completes

£1.1m total consideration

James Baxter-Derrington
clock • 1 min read
AssetCo CEO Campbell Fleming
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AssetCo CEO Campbell Fleming

AssetCo has completed its acquisition of Revera Asset Management in an updated deal that sees the Martin Gilbert-chaired group pay less than half of the original agreement.

The initial agreement published on 28 February had AssetCo agree to pay a total consideration of £2.8m for the Edinburgh-based boutique, with £1.9m in cash and the rest satisfied by share purchases of 54,639 ordinary shares at a price of 10 pence per share.

However, in the intervening months Revera notified AssetCo that it would suffer a decline in assets under management due to a "change in a client's circumstances outside its control".

As a result, total AUM across its SVS Revera UK Dynamic fund and Skye trust more than halved, from approximately £118m to just £50m.

In light of this, AssetCo and Revera agreed to reduce the total consideration from £2.8m to £1.1m, a 60% discount, which is payable entirely in cash.

Following FCA approval, this was completed today (5 August).

AssetCo chief executive Campbell Fleming said: "The acquisition of Revera is part of our plan to establish an active equity platform offering a range of investment styles and strategies alongside our recently acquired River & Mercantile capabilities to cater for investors' evolving needs.

"We are confident that the addition of Revera further strengthens our presence in Scotland. We look forward to working with the team and their clients across the UK."

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