Invesco Perpetual Select Trust PLC - multi-asset class investment trust with four independently managed share portfolios - Agrees to combine UK Equity share class with portfolio of Invesco Income Growth Trust PLC. The combination will see voluntary liquidation of Invesco Income and the rollover of its assets into the company in exchange for the issue of new IP Select UK Equity class shares to Invesco Income shareholders, with Invesco Income shareholders also offered the option of a cash exit for 30% of IVI’s shares in issue.
"As part of the proposals, Ciaran Mallon, the current fund manager of Invesco Income, will be appointed on the scheme's effective date as the fund manager of the IP Select UK Equity class portfolio, with the investment objective and policy of the share class adjusted to reflect Invesco Income's current investment objective and policy," the two funds add.
The pair continues: "With Invesco Income's net assets currently standing at approximately GBP165 million, the company will increase in size materially as a result of the transaction. This is expected to enhance the profile of IP Select, its relevance to investors and its secondary market liquidity; it will also allow fixed costs to be spread over a larger cost base, thereby improving the OCR to the benefit of the company's shareholders."
General meeting to approve merger expected in February 2021.
Invesco Perpetual Select Trust current stock price: 155.00 pence
Year-to-date change: down 17%
Invesco Income Growth Trust current stock price: 256.25 pence
Year-to-date change: down 14%
By Paul McGowan; paulmcgowan@alliancenews.com
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