Mattioli Woods has accepted a buy out for its purchase option of Amati Global Investors, rather than become the majority shareholder.
The wealth management and employee benefits firm took a 49 per cent stake in specialist fund manager Amati in February 2017, with the agreement also including the option to buy the remaining 51 per cent of the issued share capital of Amati in following two years.
Mattioli Woods has agreed to cancel the option in return for a payment of £0.75m.
The transaction to cancel the option has now officially completed.
Mattioli Woods chief executive Ian Mattioli says: “Amati is an excellent fund manager that is growing well and sustainably in difficult markets. Given the success of the current arrangement over the last two years, I believe the group retaining our 49 per cent interest in the joint venture offers the optimal structure for all its stakeholders.”
Amati chief executive Paul Jorudan says: “This completes an important strategic move for the business, which we believe will provide a strong underpinning for future growth. The agreement in February arose from detailed discussions over many months, and we were highly appreciative of the way in which Mattioli Woods entered into a spirit of partnership with us having recognised the merits of the current ownership structure.”
As part of the deal, Mattioli Woods has also agreed that Amati should maintain its policy of giving 10 per cent of profits to UK registered charities into the future.