Rising suns: B&C assists with proposed £1bn combination of two JP Morgan Japanese investment trusts

01/10/2024

We're delighted to have helped JP Morgan Asset Management with shareholder documentation for the £1bn proposed combination of JPMorgan Japanese (JFJ) and Japan Small Cap Growth & Income (JSGI), whereby JSGI’s assets will be rolled into JFJ.

The combination, subject to shareholder approval, will be undertaken through a scheme of reconstruction by JSGI under s110 of the Insolvency Act 1986 (the “Scheme”), under which JSGI’s assets will be rolled into JFJ in exchange for the issue of new JFJ shares to the continuing JSGI shareholders.

JFJ is a constituent of the FTSE 250 Index, with a market capitalisation of £773.0 million and net assets of £847.6 million as of 29 July 2024. It is the largest Japanese equity investment trust. The transaction will increase the net assets of JFJ to approximately £1.0 billion, depending on the uptake of the cash exit opportunity. The expected benefits should include increased secondary market liquidity, a larger marketing presence, and greater relevance to larger investors as a direct consequence of size.

Our thanks to our wonderful clients at JP Morgan Asset Management and advisors including Investec, Stephenson Harwood, Norton Rose Fulbright, Proskauer, Cavendish Capital Mkts, Gowling WLG and Dentons.

If you'd like to find out how we can help ensure the success of your most prestigious mergers, chat with us today: hello@blackandcallow.com

Back to News