F&C shareholders agree BMO takeover

Shareholders in F&C Asset Management have given the go-ahead for Canadian financial conglomerate BMO to buy the fund manager.

In a shareholder vote this morning 99.6 per cent voted in favour of the takeover, which was announced in January.

BMO proposed a bid in January of £1.20 per share, which would value the company at roughly £697m based on the 581m shares currently in issue.

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F&C chief executive Richard Wilson said the vote “reflects our view that this is an attractive transaction for both companies and will prove to be an excellent strategic, financial and cultural fit”.

He added: “BMO is financially strong and has a clear commitment to grow its asset management business. F&C will become the European centrepiece to deliver this growth.”

The deal is still subject to regulatory approval but is expected to complete by May 7.

Activist investor Elliott Associates had built up a 20 per cent stake in F&C according to a stock exchange notice yesterday through ‘contracts for difference’.