Aberdeen Asset Management and Standard Life pay £35m to keep hold of key executives

 
William Turvill
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Aberdeen Asset Management Scottish Open - Day Three
Aberdeen Asset Management's Martin Gilbert is to be co-chief executive of the combined group (Source: Getty)

Aberdeen Asset Management and Standard Life will pay out tens of millions of pounds in retention bonuses to executives to stop them quitting during their £11bn merger deal.

The retention bonuses, totalling around £35m, form part of £320m of one-off integration costs announced by the Scottish fund management groups.

Sky News first reported that the payments would go towards a certain number of executives who handle large amount of client money.

Read more: "Team players": Aberdeen and Standard Life set out dual chief exec plans

Standard Life announced a £3.8bn takeover of Aberdeen to create an £11bn fund manager in March.

Under the terms of the deal, the bosses of Standard Life and Aberdeen, Keith Skeoch and Martin Gilbert, will hold co-chief executive positions.

Skeoch will handle the “day to day running of the fabric of the combined business”, while Gilbert will focus on “external matters”.

Read more: Standard Life-Aberdeen deal expected to spark asset management M&A flurry

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