INVESTMENT manager Dawnay Day Milroy has dismissed rumours that it is in financial crisis. The offshore firm, which has offices in Guernsey and Jersey, distanced itself from the mounting speculation surrounding UK-based Dawnay Day.
The latter has put its banking division up for sale as it scrambles to raise cash after being hit by hefty losses on investments. In Guernsey, DDM director Robert Milroy (pictured) said there was no impact on its business from the situation in the UK.
‘Dawnay Day has no part in the ownership of DDM, so it’s very much business as usual for us. Since 1997, we have been wholly owned, managed and run from the Channel Islands.’
Dawnay Day has appointed Ernst & Young head of restructuring Alan Bloom to reform aspects of its complex portfolio of holdings, which includes investments in financial services and real estate.
The series of rapid sales has raised concerns that the group, which is owned by Guy Naggar and Peter Klimt, is the latest casualty of the credit crunch.
In Guernsey, Mr Milroy said DDM had done no more than enter into a licensing agreement in 2002 to use the Dawnay Day name.
‘We have always been an independent, stand-alone entity and don’t rely upon the Dawnay Day group in the UK for any support or infrastructure.’
The first sign of problems in the UK emerged last week as Dawnay Day suddenly sold its 20% stake in F&C Asset Management at £1 a share, having lost £70m. on the investment.
The sale of its investment banking division, which was set up only in May, is the group’s third asset to go after it sold its stake in a small brokerage firm, Dawnay Day Capital Markets, to its management.
According to the Financial Times, sources close to Dawnay Day claim none of its businesses are in administration, but it is expected that more companies and holdings will be sold.
In Guernsey, DDM director Paul Meader said the firm had an enviable track record for more than 10 years and had delivered excellent and consistent investment returns to its global client base.
‘Our client assets and the funds we manage are totally separate and unaffected as they are all held with independent banks and custodians.’
DDM had been recognised through global industry awards and was focusing on further growth and the imminent opening of its Geneva office, said Mr Meader.
‘With our expertise in the field of absolute return investment management, we are confident that we will continue to provide our clients with the high quality services that they have come to expect.’
Loading ...
Share this article:
What are these?