'Infuriated' GAM investor group hits back at Liontrust in emotional open letter to shareholders
This was the latest in an ongoing pushback from NewGAMe over Liontrust's acquisition of the Swiss firm, which it claims undervalues GAM at CHF 107m (£96m).
The letter, signed by Albert Saporta as the director of NewGAMe, comes after GAM posted a statement earlier today (26 July), stating it stood by its communication over the deal with Liontrust and urging shareholders to accept.
In the latest development of the ongoing spat between the group of investors, which controls approximately 9.6% of the issued share capital of GAM, and the asset managers, NewGAMe said «serious governance questions» had been raised.
GAM pushes back against shareholder inaccuracy claims
The group previously made its own partial cash tender offer, which Liontrust said might not be legally compliant or subject to unachievable conditions, but in the letter, NewGAMe levied that this was actually case for Liontrust's offer, which the asset manager recently announced was final and for which it has extended the tender period for another three days.
«It is one thing for GAM and Liontrust to argue their case, it is another to imply that NewGAMe's offer might not be legally compliant with Swiss takeover laws or that it is subject to supposedly unachievable conditions when the Liontrust offer is subject to the same ones,» the investor group said.
NewGAMe said this is likely to protect Liontrust's reputation as a buyer, and that GAM trading at a substantial premium to the terms offered by Liontrust ever since the deal was announced suggests a low tender ratio despite the approaching first tender period deadline, which can in fact be extended by up to 40 trading days.
«Liontrust wants you to think that GAM is in such distress that the value being offered is
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