Searchlight Capital Partners to acquire Gresham House for £469m cash offer
Tony Dalwood (pictured), CEO of Gresham House
In a stock exchange notice today (17 July), Gresham House and Bidco, a newly incorporated entity formed by funds advised by Searchlight, said it had reached agreement on the terms of a recommended final cash offer for the firm's entire issued share capital.
The acquisition values the entire issued, and due to be issued, share capital of Gresham House at roughly £469.8m on a fully diluted basis, meaning its shareholders will receive 1,105 pence in cash for each share held, a 63% premium to the stock's last closing price of 680p.
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Gresham House directors intend to recommend that shareholders vote in favour of the deal.
Chair Anthony Townsend said the acquisition represents a «compelling opportunity» in the current environment for shareholders to realise the firm's potential for «long-term future value creation».
«Since the management buy-in in 2014, Gresham House has been transformed into a leading specialist alternative asset manager. Today's offer delivers shareholders a 4x return over this period,» he added.
Townsend said the acquisition by Searchlight starts a «new and exciting» chapter for the firm, adding that he and his colleagues were «confident» the acquisition will accelerate its international and domestic growth strategy.
«Their long-term capital and global expertise will support and enhance our investment teams' ability to deliver returns to clients,» he added.
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James Redmayne, partner at Searchlight Capital Partners UK, said: «We are excited to invest in Gresham House and partner with Tony Dalwood and his highly talented management team.
»Thei
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