British investment bank Robert Fleming will announce today details of an internal restructuring aimed at integrating Hong Kong-based Jardine Fleming (JF) more closely into the group.
Following a GBP180 million (about HK$2.27 billion) deal last year with Hong Kong conglomerate Jardine Matheson, Robert Fleming bought the 50 per cent of Jardine Fleming it did not already own, in a drive to boost the firm's ability to operate in increasingly global markets.
As part of the deal, Jardine Matheson will take a direct 18 per cent stake in Robert Fleming, but for the first time since 1970 - when JF was formed - the acquisition means Robert Fleming will have full control of the group.
Today Robert Fleming's chief executive William Garrett will set out his vision for JF, following approval thought to have been won yesterday from regulators in Hong Kong and Singapore allowing Robert Fleming's takeover to go ahead.
The move comes amid speculation Germany's Commerzbank is seeking to buy Robert Fleming, but officials said yesterday it was not set to announce any takeover of the group, and that the announcement today is the culmination of a long integration plan devised by the firm since it bought control of Jardine Fleming.
Last year, Jardine Fleming made GBP18 million pretax profit amid difficult markets, but it increased its funds under management to US$21 billion.