LONDON (dpa-AFX) - RIT Capital Partners plc (RCP.L) and Edmond de Rothschild Group announced the creation of a strategic partnership. RIT and Edmond de Rothschild Group have reached a joint venture through the creation of a new company. RIT would hold 49% of the capital of the joint venture, while Edmond de Rothschild Group would hold a 51% interest. Edmond de Rothschild would contribute its stake in the management company of Capital Holdings into the joint venture.
RIT would issue 1.13 million new ordinary shares with a market value as at close on March 14, 2012 of 14 million pounds to Edmond de Rothschild Group as consideration for the purchase of its interest in the joint venture. Both RIT and Edmond de Rothschild Group would work together in the coming year to strengthen their co-operation on investment opportunities and fund management.
Baroness Ariane de Rothschild, Vice Chairman of Edmond de Rothschild Group, would become Honorary Vice Chairman of RIT as a consequence of this transaction. In a reciprocal arrangement, Lord Rothschild would become Honorary Vice Chairman of La Compagnie Financière Saint-Honoré, the French holding company of Edmond de Rothschild Group, whereas Jean Laurent-Bellue, General Secretary of Edmond de Rothschild Holdings, was named RIT's non-executive director on March 15, 2012.
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© 2012 AFX News
