Business
Completion of Acquisition
Completion of Acquisition.
About this update from Ashmore Group Plc
[{"type":"text","content":"\n \nRNS Number : 6162H Ashmore Group PLC 01 June 2011 \n \n\n\nAshmore Group plc\n1 June 2011\n \n \nCompletion of acquisition of a majority interest in Emerging Markets Management, L.L.C.\n \n \nFurther to the announcement on 24 February 2011, Ashmore Group plc (\"Ashmore\") is pleased to announce that it has completed the acquisition of a majority stake (62.9 per cent) in Emerging Markets Management, L.L.C. (\"EMM\") (the \"Acquisition\"). \n \nCommenting on the Acquisition, Mark Coombs, Ashmore's Chief Executive Officer, said:\n \n\"We are very pleased with the strong level of support that we have received from EMM's investors and from our shareholders, both of whom recognise the compelling strategic fit between the two firms.\" \n \nAs at 31 May 2011, EMM had estimated assets under management of approximately US$9.7 billion. In accordance with the terms of the Acquisition, the initial consideration at completion of the Acquisition (\"Completion\") was subject to an adjustment mechanism. The total consideration for the Acquisition remains US$246 million: \n \n§ Reduction in initial consideration of US$19.0 million to US$81.5 million payable in cash on Completion and US$25.4 million in new ordinary Ashmore shares, or approximately 4.4 million shares, which will be restricted from sale for a period of up to three years post-Completion; and\n§ Increase of US$19.0 million in the earn-out consideration to a maximum of US$139.1 million payable in three annual instalments based on the achievement of certain financial targets over the three years following Completion. Earn-out consideration will be payable in a combination of cash and new Ashmore ordinary shares at the prevailing market price, such combination to be determined at Ashmore's discretion. \n \nAdmission to listing on the Official List of the UKLA and to trading on the London Stock Exchange's main market for listed securities of the 4,359,437 new Ashmore shares issued in relation to the Acquisition is expected to occur with effect from 8:00 a.m. London time today. \n \nFor further information, please contact: \n \nAshmore Group plc\nAshmore Group plc &...