Gresham House and Bidco, a newly formed company created by funds advised by Searchlight, said that it had agreed to the terms of a proposed final cash offer for the company’s whole issued share capital.
According to Investment Week, the purchase values Gresham House’s whole issued and outstanding share capital at approximately £469.8m on a basis of full dilution.
As a result, shareholders will get 1,105 pence in cash for each share they own, a 63% premium over the stock’s most recent closing price of 680p.
Directors of Gresham House aim to urge shareholders to approve the purchase.
Anthony Townsend, chair of Gresham House, stated that the acquisition gives shareholders with a “compelling opportunity” to capitalise on the firm’s potential for “long-term future value creation” in the current climate.
“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.
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. Their achievements in building Gresham House over the past eight years to its position as a leading Natural Capital and Sustainability focused asset manager have been hugely impressive.”
Giles Marshall partner of Searchlight concluded, in the upcoming years, the Gresham House team will have access to both Searchlight’s “extensive international network” and finance to assist fund their goals for both organic and inorganic expansion.
Searchlight Capital Partners is a private investment firm that seeks out and develops unique possibilities for its investors and partners.
Gresham House is a specialist asset management that provides funds, direct investments, and bespoke possibilities to a diverse group of investors.
