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Towry Ashcourt ups offer for Ashcourt Rowan by £23m

Towry Ashcourt ups offer for Ashcourt Rowan by £23m

Towry has increased its offer for Ashcourt Rowan by more than £20m.

The new deal will see Towry pay 333p for each of the wealth management firm’s shares – boosting the value of Ashcourt Rowan to £120m.

When the deal was announced in February, Towry was expecting to pay £97m for the firm.

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Hugh Ward, chairman of Ashcourt Rowan, said: “We are pleased to have agreed a compelling, increased, predominantly cash offer from Towry at 333p in cash and 16p in loan notes.

“The board recognises the compelling strategic rationale and value of this combination and is confident that the businesses will be able to effect a smooth integration and consolidate the combined entity’s position as a leading player in the UK wealth management industry.

“This move by Towry brings an end to the uncertainty any disruption to the business through the delivery of hard irrevocable undertakings to vote in favour of the deal and therefore an ensured outcome.”

Under the terms of the deal, Ashcourt Rowan chief executive Jonathan Polin, chief financial officer Alfio Tagliabue and head of governance Steve Haines will all leave the company.

Background

Ashcourt Rowan has assets under advice of £5bn – of which £2.3bn are managed on a discretionary basis – and employs 340 members of staff in 16 offices across the UK, while Towry has £6bn in assets under advice, employing around 800 people across 20 offices.