F&C Asset Management may lose a contract to manage up to £15.6 billion of assets for Banco Comercial Portugues (BCP), The Telegraph reports. BCP feels it can end its exclusive contract without paying compensation or giving any notice, due to a break clause that took effect in 2009 when Friends Provident divested its majority stake in F&C, adds City A.M. F&C, which saw Sherborne Investors take control of its board, believes the break clause became effective after Sherborne raised its stake in F&C to 17%, and BCP must still serve a 12 months notice. The clause allows BCP to terminate the mandate if any F&C shareholder gains a higher stake than its two largest investors when the deal was signed.
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