BROKERS' BONANZA
Founders of Britain’s biggest stockbroker will bag £844m windfall from its £5.4m takeover
Shares in the firm rose by 2 per cent after the long-awaited deal was announced
THE founders of Britain’s biggest stockbroker will bag an £844million windfall from its upcoming takeover.
After months of talks, Hargreaves Lansdown bowed to a £5.4billion acquisition bid by a financial services consortium.
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The deal with CVC Capital Partners, Nordic Capital and the Abu Dhabi Investment Authority is priced at £11.40p-a-share, while investors will also get a last 30p dividend.
Shares in the firm rose by 2 per cent after the long-awaited deal was announced.
Peter Hargreaves, 77, will cash in half his 19.8 per cent stake for £535million, while Stephen Lansdown, 71, will sell off his entire 5.7 per cent stake for £309million.
The broker duo started their DIY investment platform from a spare bedroom in Bristol back in 1981.
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They have already bagged £80million from share sales after the business floated in 2007.
Some analysts suggested the firm was still another UK giant sold on the cheap, since it manages assets worth £155billion.
But Hargreaves Lansdown’s board said it was struggling agsinst rivals and needed a turnaround.
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