An almost £9mn loan has been repaid by Gam to Liontrust following an unsuccessful takeover.
It comes nearly two weeks after just 33.5 per cent of Gam shareholders backed Liontrust’s proposed £96mn takeover of the Swiss company.
In an announcement today (September 5), Liontrust revealed that Gam has repaid £8.9mn from its tranche 1 facility which has been cancelled.
A further £8.9mn which was provided as a trance 2 facility was not drawn and has since been cancelled.
The announcement added: “As a result, there is no outstanding indebtedness between Liontrust and Gam, and Liontrust's financial support of Gam has ended.”
On August 29, the Gam board agreed to step down at an extraordinary general later this month once new directors are elected.
Gam has also set up short-term financing with investor group NewGame and Rock Investment SAS of CHF20mn (£17.9mn).
Rock is owned by NJJ Holding, who own 9.6 per cent of Gam, and is part of the NewGame group of investors consisting of NewGame SA and Bruellan SA.
The group of rebel investors previously lobbied to block the Liontrust deal before launching their own partial cash counter offer in July.
In response to the agreed short term financing David Jacob, Gam's chairman, said: “This provides a clear path forward for Gam and stability for our clients, employees and all other shareholders. I would like to thank clients, employees and shareholders for their patience during the process of securing a strategic outcome for Gam.”
tara.o'connor@ft.com
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