(Alliance News) - Arrow Global Group PLC on Wednesday accepted a GBP563 million takeover offer from TDR Capital LLP.
TDR will buy Arrow for 307.5 pence per share in cash through a scheme of arrangement. The price is a 33% premium to Arrow's closing price on February 5, before the start of the offer period.
Shares in Arrow were up 5.8% to 304.75 pence in London.
Arrow, a Manchester-based debt investor, had EUR4.3 billion in assets under management as of December 31. It swung to a pretax loss of GBP114.8 million in 2020 after writing down the value of its portfolio.
London-based private equity firm TDR made its first offer of 250 pence per share for Arrow on December 2, raising its bid several times before offering 307.5 pence per share in February. The acquisition is expected to complete in the third quarter of this year.
TDR Partner Jonathan Rosen said: "We are excited to partner with [Arrow] to accelerate their strategy to build a market leading fund management business by providing the investment and support needed, all of which we believe is better facilitated as a private company."
By Ivan Edwards; ivanedwards@alliancenews.com
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