International law firm Stephenson Harwood LLP has advised Sanditon Asset Management (Sanditon) on the launch of its first investment trust – Sanditon Investment Trust plc. The trust was admitted to trading today (27 June 2014) having met its target fundraise of £50 million through a public offer and placing. The trust will invest in a portfolio of pan-European stocks and will invest both long and short, either directly or through the use of contracts for difference.
Sanditon is a newly formed asset management business, set up by ex-Cazenove Capital Management managers Tim Russell and Chris Rice. An added attraction of the new trust is that it has taken a 20 per cent stake in Sanditon meaning that, as Sanditon grows its business, the trust will also share the benefit of that growth. Sanditon plans to launch further funds later this year.
Stephenson Harwood advised Sanditon on all the legal and regulatory issues involved in the transaction.
Alex Haynes, corporate partner at Stephenson Harwood commented "We're delighted to have advised Sanditon Asset Management, a new client of ours, on this extremely exciting launch. There are very few listed investment companies that invest in their appointed investment manager. It provides an attractive alignment of interest and it's a model which new investment managers setting up their business may want to consider. We look forward to working closely with Sanditon in the future as it continues to grow".
The team at Stephenson Harwood was led by Alex Haynes. He was supported by corporate associates Nick Horton and John Meehan, and corporate trainee Victoria Silver.
JP Morgan Cazenove acted as sponsor and placing agent and were advised by Ashurst partner, Jonathan Parry, and senior associate, Stuart Dullard.