ATST Alliance Trust Plc

 
TIDMATST 
 
 
   22 October 2018 
 
   This announcement contains inside information 
 
   Alliance Trust PLC 
 
   ("Alliance Trust" or "the Trust") 
 
   Alliance Trust announces the sale of Alliance Trust Savings 
 
   Alliance Trust today announces that it has agreed the sale of its 
subsidiary company Alliance Trust Savings (ATS) to Interactive Investor 
("ii"), the UK's second largest investment platform. 
 
   Lord Smith of Kelvin, Alliance Trust's Chairman, commented: 
 
   "The Board is pleased to announce the sale of ATS to Interactive 
Investor. The two businesses are highly complementary and ATS customers, 
many of whom are Alliance Trust shareholders, will benefit from 
Interactive Investor's similar low flat-fee structure, as well as its 
increased scale and focus. A key consideration for the Board was a 
commitment to maintaining ATS' presence in Scotland. We are therefore 
very pleased that ii plans to invest in ATS' Dundee operating centre." 
 
   Richard Wilson, CEO of ii, commented: 
 
   "This is another important step in our ambition to build the UK's best 
investment platform. The acquisition brings together the country's two 
largest fixed price providers, adding significant scale to ii, and 
reinforcing our ability to deliver excellent choice, value and service 
to all our customers." 
 
   The total price payable under the sale agreement is GBP40m, subject to 
post completion adjustments, and includes Alliance Trust's office 
building in Dundee, where ATS is based. The Trust, which has been 
headquartered in Dundee since 1888, will continue to be based in the 
City. 
 
   As at 30 June 2018, ATS, which represents 1.3% of the Trust's portfolio, 
had a fair value of GBP38m and the Dundee building was valued at 
GBP4.9m. 
 
   The sale is another positive step in Alliance Trust's strategy to focus 
on its global equity portfolio. This has previously seen Alliance 
Trust's successful sale of its in-house investment management arm, 
Alliance Trust Investments, to Liontrust Investment Management, as well 
as the recent agreement to sell off most of the Trust's private equity 
assets. 
 
   The proceeds from the sale will be invested in the global equity 
portfolio, managed by Willis Towers Watson, which following completion 
will represent close to 100% of the Trust's investment portfolio. 
 
   Evercore is advising Alliance Trust and Rothschild is advising ii on the 
acquisition of ATS. The sale is subject to regulatory approval from the 
PRA and FCA. 
 
   -END- 
 
 
 
 
Alliance Trust PLC 
Gregor Stewart, Deputy 
 Chairman 
Mark Atkinson, Marketing               +44 (0) 138 232 1280 / +44 
 and Comms Manager                           (0) 791 872 4303 
 
Tulchan (PR Advisor to                  +44 (0) 0207 353 4200 or 
 Alliance Trust PLC)                 alliancetrust@tulchangroup.com 
                           --------------------------------------------------- 
Elizabeth Snow 
                           --------------------------------------------------- 
Martin Pengelley 
Lisa Jarrett Kerr 
 
Interactive Investor                                      +44 (0) 20 7680 3655 
Richard Wilson, CEO 
                           --------------------------------------------------- 
Alex Kovach, CCO 
                           --------------------------------------------------- 
 
TB Cardew (PR Advisor 
 to ii)                                +44 (0) 207 930 0777 or ii@tbcardew.com 
                           --------------------------------------------------- 
Tom Allison                                               +44 (0) 7789 998 020 
Shan Shan Willenbrock                                     +44 (0) 7775 848 537 
Lucy Featherstone                                         +44 (0) 7789 374 663 
 
 
   About interactive investor 
 
   interactive investor (ii) is the UK's number one flat fee investment 
platform. ii offers a wealth of unbiased information, analysis, tools 
and expert ideas to help customers make better informed investment 
decisions. ii's award-winning trading platform provides access to an 
extensive choice of markets, instruments and currencies within Trading, 
ISA and SIPP accounts. This comprehensive investing service is 
underpinned by a strong focus on delivering great value for investors 
demonstrated through an innovative and competitive pricing model -- 
featuring simple, flat fees and unique 'trading credits'. 
 
   Since 2013 the investment platforms market has almost doubled in size to 
GBP500bn AUM, with an extra 2.2 million customer accounts opened in the 
same period.  ii has approximately 10% of the UK direct to consumer 
investment platform market.  www.ii.co.uk 
 
 
 
 

(END) Dow Jones Newswires

October 22, 2018 02:00 ET (06:00 GMT)

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