The group of rebel investors behind a counter offer for the takeover Gam have withdrawn their proposals from an extraordinary general meeting after calling for it to be postponed.
NewGAMe and Bruellan previously asked Gam to change the date of its extraordinary general meeting, which is due to be held on August 18.
The group, which controls around 9.6 per cent of the company's shares, launched its own partial cash counter offer in July and opposes the Liontrust takeover of the Swiss asset manager.
However, in a statement, Gam confirmed it would not delay the upcoming meeting.
It added: “The Gam board continues to strongly recommend the Liontrust offer, urges shareholders to tender their shares into the offer and to vote to reject all of the proposals on the EGM agenda.”
This has now led to NewGAMe pulling its proposals from the meeting claiming the company will now be incurring costs for a meeting with an empty agenda.
It wants to see another meeting held once the results of the Liontrust offer are known.
The group claims just 32 per cent of the share capital has so far been tendered in support of the Liontrust offer.
Antoine Spillmann, CEO at Bruellan and the group’s proposed candidate for chairman of Gam’s board, said: “Gam’s board of directors continue to show contempt for shareholders rather than act in the best interests of the company.
"They have constantly changed dates and deadlines to avoid being held to account by shareholders while knowing all along that the Liontrust offer is failing.
"Since they are refusing to move the EGM back until after the publication of the offer's results, we call upon them not to waste further time and company money holding a pointless meeting with an empty agenda to try to avoid an inevitable outcome.”
Liontrust has extended the offer period three times with the new August 23 deadline almost a month later than the original deadline of July 25.
In an open letter last week, Liontrust CEO John Ions said the extension of the offer period gives shareholders a chance to make a “straight choice” between the two proposals.
tara.o'connor@ft.com
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