Aberdeen has acquired Sutherland Holdings Limited, which holds 50.1 per cent interest in Glasgow Investment Managers, and will acquire the remaining 49.9 per cent of the company from Shires Income plc.
In a statement to the stockmarket this afternoon, Aberdeen Asset Management says it will pay £6.25m, plus the value of net tangible assets estimated at £2.7m.
Glasgow Investment Managers manages three investment trusts- Glasgow Income Trust plc, Shires Income plc and Shires Smaller Companies plc as well as funds on behalf of a number of institutional clients. Total assets under management at the end of July 2007 were around £429m.
Aberdeen chief executive Martin Gilbert says: “We are delighted that Iain Lynn and his team have agreed to join Aberdeen. They have demonstrated good performance over a long period, they manage well-established funds and they have a very strong relationship with their clients.
“We have a long established strategy of using selective acquisitions to complement our rapid organic growth and these trusts represent an exciting addition to the range of investment companies under our management. The acquisition of Glasgow will further strengthen our UK equity capabilities and enhance Aberdeen’s position as a leading manager of closed end funds.”