May 31 2012
|more articles from|
Financial News: Gulf Merchant Bank Makes New Bid For Plus Markets
Thursday, May 31, 2012
By Michelle Price
Of FINANCIAL NEWS
The troubled sale of Plus Markets (PMK.LN) has taken a new turn after the Middle Eastern bank that failed to buy the stock exchange operator earlier this month returned to the fold in order to trump an agreed bid from Icap.
Gulf Merchant Bank said in a statement issued at 1601 GMT today that it had made a revised offer for the acquisition of the entire issued share capital of the junior London market.
The bid is a return to the mix for the Dubai-based bank, which had been in negotiations to buy Plus Markets after the exchange had put itself up for sale three months ago. However, as first reported by Financial News, a breakdown in these talks in the early hours of Monday May 14 led to Plus Markets announcing that morning that it had begun a process of closing down.
Gulf Merchant Bank has not disclosed the terms of its revised offer, but said in today's statement: "Gulf Merchant Bank believes that the revised offer provides a number of benefits for Plus Markets Group shareholders, the listed companies on Plus and the community of Plus' advisors not least because it is substantially in excess of that announced by Icap."
Gulf Merchant Bank said it had developed a "roadmap" for growing the beleaguered London market, which includes providing additional financial resources; strengthening its corporate governance; reinforcing its risk management controls; and developing a new strategy to attract companies from the world's growth markets.
The bank said that the U.K. Financial Services Authority has given no indication that it would block the Dubai bank's bid to acquire the exchange's recognised investment exchange licence which allows it to list products under U.K. law.
Plus Markets and Icap were not immediately available for comment.
Web site: http://www.efinancialnews.com/story/2012-05-31/gulf-merchant-bank-makes-revised-bid-for-plus-markets
(END) Dow Jones Newswires
© Copyright Zawya. All Rights Reserved.