BUSINESS LIVE: Schroders agrees Greencoat Capital deal

BUSINESS LIVE: Schroders agrees Greencoat Capital deal; Hopes of Santa rally fade; Kwarteng urged to intervene on £5.5bn Inmarsat deal

British fund manager Schroders has reached an agreement to buy 75 per cent of renewable investor Greencoat Capital in a bid to grow its sustainable investment offering .

Schroders has agreed to pay £358million for the majority stake, valuing Greencoat at around £477million.

Hopes of a Santa rally faded yesterday as stock markets around the world were hit by mounting concerns over the Omicron coronavirus variant and lockdowns.

On a day of jitters in dealing rooms worldwide, the FTSE 100 closed down 0.99 per cent, or 71.89 points, at 7198.03 after briefly dropping to a one-month low of around 7107 in early trading.

Kwasi Kwarteng has been urged to intervene in the £5.5billion takeover of Inmarsat. Tom Tugendhat, chairman of Parliament’s Foreign Affairs Committee, called on the Business Secretary to launch a national security review into the deal to buy the satellite telecommunications company.

Tugendhat told Kwarteng that Inmarsat’s sale to US rival Viasat could ‘diminish the UK’s sovereign capabilities’ in the ‘critically important’ sector.

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Greencoat will become part of Schroders’ private markets division – Schroders Capital – and will be known as Schroders Greencoat.