View more on these topics

Gale leads partial MBO at Sesame

Sesame chief executive Patrick Gale is leading a partial management buyout that will see parent group Misys keep a 40 per cent stake in the business.

Gale is being supported by finance director Mark Wadelin, sales and marketing director Steve Young and customer services director Michael Couzens.

Under the proposals, the Sesame directors will take a 60 per cent stake while Misys will guarantee the funding of Sesame’s capital adequacy requirements for up to a decade.

Misys has set aside £105m to cover this, with £60m initially being pumped into the distribution group to cover its running costs and current capital adequacy requirements.

It has set aside a further £45m to guarantee that Sesame can meet its future requirements.

Misys will look to recoup up to £90m of this from Sesame over the next eight to 10 years, subject to its performance.

Last year, Sesame abandoned sale talks after no potential suitors would match its asking price.

Gale says: “This is a new era. It was the most logical step to take. Misys have made no secret that they want to focus on healthcare and banking while Sesame wanted more autonomy and control, which we now have.”

He says the difficulties experience by Sesame in terms of legacy issues over the past three years have declined significantly but declines to confirm whether the management team expects to complete a full buyout at a later date.

Gale says: “We are a profitable business and now as Misys deconsolidates it will allow people to identify the profits we generate rather than them getting lost in the overall results of the parent.”


Initial charges cut on Liontrust funds

The Liontrust first opportunities and focus 350 funds are being offered at no initial charge until June 30 to mark the funds’ first anniversaries.

In Focus Ebola cover - thumbnail

White paper — In Focus: Ebola Virus Disease

Jelf Employee Benefits focuses on Ebola Virus Disease (EVD) and what this means for businesses with operations in West Africa. This will be of particular interest to those with employees either travelling to, or living within, West Africa, the area affected by the most catastrophic outbreak of Ebola to date.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm