Strategic review could end in quick sale of Gartmore
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Analysts believe Gartmore could be sold quickly following news that Goldman Sachs is leading a strategic review of the firm
Gartmore’s share price has fallen dramatically since its stockmarket flotation at 220p in December 2009. On Tuesday, the share price stood at 107.7p. It dropped by 15 per cent on Monday following news of Roger Guy’s departure and the strategic review.
Capital Markets analyst Sarah Ing says: “Monday’s announcement was a clear signal that the group wants to sell the business, while it is also in the best interests of Roger Guy, given his stake in the firm.
“It could see the Gartmore name go as it falls under the banner of a new owner.”
Earlier this year, Henderson was linked with a bid for Gartmore. The group has a 10 per cent holding in the business on a fund level. It says it will not comment on speculation.
Numis Securities analyst David McCann says: “Management is eyeing a quick sale, as the longer this goes on, the more risk there is of other managers leaving.”
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