Gam has cancelled its extraordinary general meeting, just four days after it pledged it would go ahead with it.
The Swiss asset management company is facing opposition from a number of shareholders on its proposed takeover by Liontrust.
Last week, rebel investor group NewGAMe withdrew their proposals for the extraordinary general meeting which was scheduled for August 18.
The group, which controls almost 10 per cent of the shares, claimed the company will now be incurring costs for a meeting with an empty agenda.
NewGAMe is an investment vehicle controlled by Rock Investment, a subsidiary of NJJ Holding,
At the time, Gam issued a statement insisting it would go ahead with the meeting.
However today (August 14) it confirmed the meeting would not go ahead.
Gam said: “The board is disappointed that Rock have not been willing to have the Rock proposals decided upon by Gam shareholders and believes that their decision to withdraw the Rock proposals is a vexatious use of shareholder rights.”
It went on to say the board believes the proposals would have been rejected and renewed its support of the Liontrust deal.
The statement added: “The board continues to strongly recommend the Liontrust offer and urges all Gam shareholders to tender their shares.”
Liontrust has extended the offer period three times with the new August 23 deadline almost a month later than the original deadline of July 25.
tara.o'connor@ft.com
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