(Alliance News) - Premier Miton Group PLC on Friday said assets under management at the end of the first quarter were sharply higher as the firm completed the merger that formed it during the period.
At the end of 2019, Premier Miton's AuM stood at GBP11.56 billion, 76% higher than the GBP6.56 billion seen three months earlier.
On November 14, Premier Asset Management Group completed its takeover of Miton Group, adding GBP4.70 billion in funds under management. Following the all-share merger, the former shareholders of Miton hold 33% in the enlarged company, with Premier Asset Management owners having the controlling stake.
"We are delighted that the merger between Premier Asset Management Group and Miton Group was completed mid-way through the period under review. Although it is still early days, progress has been swift in terms of creating the management structure for the new group and the planned synergies are now underway. We will update shareholders following the end of the half year period on progress," said Chief Executive Mike O'Shea, who previously had led Premier Asset Management.
The newly formed group experienced GBP222 million of net outflows during the three-month period. This was more than offset, however, by a GBP520 million market performance gain.
O'Shea continued: "With UK political uncertainty beginning to lift, we believe that investor confidence will improve in 2020. Against an expected more favourable background, we believe the combination of our broader product range, strong investment performance across different investment strategies, including our equity and multi-asset funds, and our enlarged distribution and marketing capabilities, means we are well placed for future growth."
Premier Miton has adopted a quarterly dividend policy, where it expects to pay out three smaller, interim dividends, equalling half the annual total, followed by a larger final interim payout.
The company has approved a 1.75 pence dividend for its first quarter.
Shares in Premier Miton Group were down 1.5% in early trade on Friday morning at 170.00p each, giving it a GBP281.1 million market capitalisation.
By Paul McGowan; paulmcgowan@alliancenews.com
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Premier Miton (PMI)