Martin Gilbert’s asset manager AssetCo has confirmed the completion of its acquisition of Ocean Dial Asset Management Limited from Avendus Capital Asset Management (UK) Limited.

This follows confirmation of relevant clearances from the FCA and Indian regulators.

“Ocean Dial’s current business is the management of the assets of the India Capital Growth Fund Limited, which, as at 22 September 2023, had a net asset value of c.£156m generating an annualised run rate revenue for the manager of £1.86m,” said AssetCo.

“The acquisition is expected to be earnings enhancing for the group and it is anticipated that further synergies will be achievable.

“Ocean Dial had estimated net assets at completion exceeding £0.6m. The fund has been successfully advised for several years by Gaurav Narain and his team based in India and UK.”

AssetCo chairman Martin Gilbert said: “We are delighted to have completed the acquisition of Ocean Dial on the timetable originally envisaged and to welcome India Capital Growth Fund as an important and valued client of our group. 

“We are excited about the long-term potential that India offers and see opportunities to add value by bringing Ocean Dial including Gaurav and his team together with the other active equity asset management businesses we are combining under the River and Mercantile brand.”  

Gaurav Deepak, Co-Founder and CEO of Avendus Capital (India), said: “Avendus is delighted to have completed the sale of Ocean Dial to AssetCo, and we look forward to a long and fruitful future relationship with Martin and his team.”

AssetCo added: “The initial consideration has been satisfied by the delivery of 1,464,129 ordinary shares of £0.01 each in the capital of the Company and £2.46m in cash (£1.82m net of cash within the business).

“Up to a further 1,464,129 Ordinary Shares may be issued, subject to adjustment, on a deferred basis until after the calendar year end in accordance with the provisions of the Sale and Purchase Agreement.

“As part of the Completion arrangements, it was agreed to bring forward £0.5m of cash which was to form part of the deferred consideration and to replace this with the issue of shares rather than the mixtures of cash and shares originally proposed.

“All Consideration shares have and will be issued at an agreed issue price of 68.3p per share out of Treasury. Following the transfer for the initial consideration, AssetCo has 6,818,898 ordinary shares remaining in treasury.”