Join our daily newsletter At The Bell to receive exclusive market insights
- The Federal Court of Australia approves a scheme meeting for the proposed merger of PM Global Opportunties Fund (PGF) and PM Capital Asian Opportunities Fund (PAF)
- Earlier this year, PM capital announced it will merge its self-title Global Opportunities Fund and Asian Opportunities Fund
- The approved meeting means shareholders will be able to vote on the scheme on December 13
- The PAF Board is recommending its shareholders to vote in favour of the deal
- On market close, PGF is up 0.95 per cent, trading at $1.60 per share, while PAF shares is in the grey and trading at $1.10 each
The Federal Court of Australia has approved a scheme meeting for the proposed merger of PM Global Opportunities Fund (PGF) and PM Capital Asian Opportunities Fund (PAF).
Earlier this year, PM capital announced it will merge its self-title Global Opportunities Fund and Asian Opportunities Fund.
Under the deal, PGF will purchase all of PAF’s shares through a Scheme of Arrangement.
The Global Fund already holds a 19.9 per cent interest in the Asian Fund, and PAF shareholders will be offered PGF shares.
The court has now approved for the scheme meeting to go ahead, which means shareholders will be able to vote on the scheme on December 13 at 11:00 am AEDT.
Notably, the deal has been labelled as “fair and reasonable and in the best interest of shareholders” by the independent expert.
The PAF Board is recommending its shareholders to vote in favour of the deal.
PM Capital said the reason for the merger is to reduce the fixed costs relative to investment returns and increase trading liquidity on the ASX.
On market close for the day, PGF was up 0.95 per cent, trading at $1.60 per share, while PAF shares were in the grey and trading at $1.10 each.
