Panmure Gordon recommends Ellsworthy offer

Panmure Gordon has recommended the premium 100p-a-share cash offer made by Ellsworthy Ltd, valuing the stockbroker at about £15.5m.

Ellsworthy Ltd was owned and controlled by QInvest LLC, and by a wholly owned subsidiary of a fund managed by Atlas Merchant Capital LLC.

The acquisition was conditional on several factors, chief among them that the offer achieved approval by 75% of scheme shareholders.

The offer price represented a premium of 68.1% to the closing price of 59.5p per Panmure Gordon Share on the last practicable date, of 78.1% to the volume weighted average price of 56.1p per Panmure share in the 12-month period to the last practicable date.

Panmure's chairman, Andrew Adcock, said the company's independent directors believed the cash offer would be attractive in providing shareholders with an opportunity to exit at a significant premium to the current share price.

"Against the backdrop of a challenging macro-economic environment, with the resultant market volatility which has in recent years impacted Panmure Gordon's business, the Independent Panmure Gordon Directors believe that the Scheme Price reflects a fair and reasonable offer," he said.

"Accordingly, the Independent Panmure Gordon Directors unanimously recommend Shareholders vote in favour of the Scheme. We look forward to working with the management of Bidco to ensure an orderly Acquisition is effected in the best interests of all involved."