View more on these topics

Pearl confirms continued Resolution interest and sets out valuation criteria

Pearl says it is still interested in making an offer for Resolution and believes the proposed merger with Friends Provident will not create the best value for shareholders and will expose them to significant risks.

In an announcement to the stock market this morning, Pearl says the current market price for Resolution has been affected by recent press speculation about possible offers.

It says any offer Pearl may make would take into account the closing Resolution share price of 616p on July 25 following the announcement of the Friends Prov merger but before any announcement relating to Pearl’s shareholdings.

It will also take into account the “see through price” of around 575p implied by the original Resolution/Friends Prov merger terms, the price of recent comparable transactions for mostly closed life funds as well as other related values.

The statement says the Friends Prov/Resolution deal would expose shareholders to the significant risks of integration and of the synergies promised not being realised.

The statement says: “There can be no certainty that Pearl will make an offer for Resolution or as to price or timing of any such offer. This announcement does not constitute an offer for Resolution or an announcement of a firm intention to make an offer under Rule 2.5 of the Takeover Code.

“Pearl notes that Resolution has announced that it intends to post documents relating to its proposed merger with Friends in early October and that shareholders will need reasonable time to consider those documents and any alternative proposals, whether from Pearl or any other party, before deciding how to vote at the Resolution EGM. A further announcement will be made when appropriate.”



Policy is priority

No news escaped from the Gleneagles life & pensions summit held last week. This was the event at which Callum McCarthy chose to fire the starting pistol of the retail distribution review last year.

Dynamo homes in on Ukranian property

Dynamo property investment aims for growth by investing in properties and property developments in the Ukraine. It is available to Sipp and SSAS investors as an exempt unit trust and also as a limited partnership for high-net-worth and certified sophisticated clients.

UK housebuilders remain a value trap – despite post-Brexit falls

By Mark Martin & Holly Cassell, Neptune UK Equities As investors continue to digest the UK electorate’s vote to leave the EU, Neptune’s Mark Martin and Holly Cassell explain why they believe housebuilders remain dangerously overvalued Click here to view full article Important information  Investment risks  Neptune funds may have a high historic volatility rating and […]


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