(Alliance News) - AssetCo PLC, and its wholly-owned subsidiary River & Mercantile Holdings Ltd, on Friday announced they have reached an agreement in principle to sell their interest in River & Mercantile Infrastructure LLP.
The companies have agreed in principle to transfer their interest in RMI to the partners of RMI for the nominal figure of GBP1. The partners have agreed to continue managing and operating RMI outside the AssetCo Group.
RMI's primary activity is as an investment adviser to the River and Mercantile Infrastructure Income Fund. AssetCo said on Friday that it believes the business would be "optimised" by RMI operating outside of AssetCo.
"We are pleased to have reached agreement with Ian and his team for them to take the business of RMI out of the AssetCo Group. This will allow that team to re-shape the RMI business to focus on delivering the best outcome for the fund's clients while leaving AssetCo to focus on building its active equities business," said Chair Martin Gilbert.
"In doing so, we are looking to capitalise on the recent acquisition of Ocean Dial Asset Management and bringing this together with our other active equities businesses under the River & Mercantile banner."
Shares in AssetCo were down 2.6% at 36.52 pence around midday on Friday in London.
By Heather Rydings, Alliance News senior economics reporter
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Assetco (ASTO)