AMP and Ares entered into the 30-day exclusivity period to explore a 60 per cent sale of AMP Capital’s private markets business. The exclusivity period has now ended, with no conclusive agreement in sight.
“AMP and Ares continue to work towards a potential transaction and Ares has expressed interest in acquiring 100 per cent of the private markets businesses,” AMP said.
“There is no certainty that a transaction will proceed, or the terms, size or structure on which it would proceed. Any transaction would remain subject to approval of AMP shareholders.”
It is what happens when you are desperate and you are in a monopsony – a single buyer. You get squeezed until you break.