By Ian Walker
GCP Asset Backed Income Fund no longer plans to merge with GCP Infrastructure Investments after failing to get shareholder support.
GCP Asset, a closed-ended investment company, said on Aug. 11 that it had agreed to merge with GCP Infrastructure under a deal that would have resulted in GCP Asset being wound up and its assets transferred to the company in exchange for shares, creating a company worth about 907 million pounds ($1.12 billion).
GCP Asset said Monday that since then, it has undertaken a significant shareholder consultation exercise to seek feedback from shareholders as to their views in relation to the scheme.
“Whilst a number of shareholders expressed their support for the scheme, a significant minority of shareholders have informed the company that they are not supportive of the scheme,” it said. The board has therefore ended talks with GCP Infrastructure, it added.
GCP Asset shares at 0718 GMT were up 2.20 pence, or 3.8%, at 60.0 pence; GCP Infrastructure shares unchanged at 72.0 pence.
Write to Ian Walker at [email protected]
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