Class 1 disposal of River and Mercantile Investments Ltd

Deal typeCapital Markets & Transaction Services
IndustryFinancial Services
Client nameRiver and Mercantile Group plc

On 13 December 2021, the shareholders of River and Mercantile Group plc ('RMG') voted to approve the Class 1 disposal of its non-US Fiduciary Management, Advisory and Derivatives business to Schroder International Holdings Limited for an enterprise value of £230m. Completion of the sale is subject to regulatory approval from the FCA.

The board of RMG considered that the sale was in the best interests of shareholders as it was evident that the market capitalisation of RMG materially undervalued RMG and its underlying individual businesses.

Whilst the majority of the sale proceeds will be returned to shareholders, the remainder will be invested in the remaining RMG group to support its transition into a specialist asset manager.

BDO acted as reporting accountant on the Class 1 disposal.