Investment management update

RNS Number : 9510O

Schroder UK Growth Fund PLC

23 May 2018

 

Schroder UK Growth Fund plc

Investment management update

23 May 2018

The Board of Schroder UK Growth Fund plc ("SDU" or the "Company") is pleased to provide an update on the transition of investment management arrangements to Baillie Gifford & Co Limited ("Baillie Gifford").

Baillie Gifford, having submitted in April its request for approval to act as AIFM to the Company, expects, subject to all other necessary regulatory filings having been submitted, to receive the necessary authorisation from the FCA shortly, which will put Baillie Gifford in a position to take on the management responsibilities.  The Board is working to achieve an efficient transition of investment management arrangements as soon as practicable thereafter and currently expects that date to be no later than 13 July 2018, being the business day immediately after the date on which the three months' notice served by the Company to terminate the existing AIFM agreement elapses.

The Company also intends to appoint Bank of New York Mellon as its depository in place of HSBC, with such appointment intended to take effect concurrent with the transfer of investment management responsibilities to Baillie Gifford.

The Board has been advised by the administrator of the Schroder ISA Saving Scheme that, under its current terms, underlying investors may no longer be able to hold shares in the Company once the management of the Company's investments transfers to a new party.  This currently equates to circa 23% of the Company's shares. Once the Schroder ISA position is confirmed, and mindful of the interests of all shareholders, the Board and its advisers will seek to work with the Schroder ISA Administrator to try and ensure that any sale by it is conducted in an orderly manner aimed at avoiding or minimising any adverse impact on the share price.

The Board expects to provide further updates as appropriate in due course.

Contacts

Joe Winkley/Neil Morgan

020 3100 0000

Winterflood Securities Limited - Corporate broker and financial adviser

 

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