Shares Of Gam Increase By More Than 12 Percent Amid Takeover Rumours

Advertisment

The shares in Gam, the troubled fund manager, have increased by more than 12 percent amidst the release of the news that it could be taken over by a mystery buyer.

The shares of the company were up by 12.53 percent during afternoon trading on the 10th of October.

It was reported by Bloomberg that informal discussions were being held with possible buyers who are looking to acquire the entire business or only a portion of it. However, it did not reveal any names.

Last month, an investigation that was conducted into Tim Haywood, the former Gam investments director, was sparked by the concerns that were raised by a whistleblower.

Haywood was based in the London office of the firm. Last July, he was suspended after an internal investigation was able to uncover that the investment director broke the gifts and entertainment policy of the company.

The investigators also discovered that he may have breached the signatory policy and used his personal email address for work purposes.

His suspension resulted in the liquidation of the nine unconstrained/absolute return bond funds that he was responsible for. An internal disciplinary process is currently ongoing.

Gam refused to comment regarding the rumours of a possible takeover.