BOV acquires 40% stake in Valletta Fund Management for €5 million

Insight Investment Management Limited (IIM) has entered into a tripartite share transfer agreement with Bank of Valletta p.l.c. and Valletta Fund Management Limited to sell 120,000 ordinary ‘A’ shares and 8,000 ordinary “B” shares, representing IIM’s 40% shareholding in VFM.

The sale of these shares was effected for a total consideration of €5 million. Settlement of the transaction took place immediately following the signing of the agreement.

Bank of Valletta now is the sole shareholder of VFM and will fully benefit from the business activities that the VFM is involved in.

All other service agreements between IIM and VFM will continue in accordance with their respective terms following the transaction.

VFM holds a Category 2 Investment Services Licence issued by the Malta Financial Services Authority and currently manages in excess of €800 million in funds under management, providing investors with a comprehensive range of domestic and international investment funds investing in the main asset classes.

As at end of July 2016, VFM’s value of gross assets amounted to €3.2 million, whilst profits attributable to the assets which are the subject of the transaction amounted to €1.7 million.