Gam shares leap more than 12 per cent on takeover rumours

Alexandra Rogers
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Gam investments director Tim Haywood was suspended this summer

Shares in troubled fund manager Gam have shot up by more than 12 per cent on the news it could be taken over by a mystery buyer.

Shares were up by 12.53 per cent in afternoon trading.

Bloomberg reported that informal talks were being held with potential buyers looking to acquire the entire business or a portion of it, but did not reveal any names.

Last month an investigation into former Gam investments director Tim Haywood was sparked by concerns raised by a whistleblower.

Haywood, who was based in the firm's London office, was suspended in July after an internal investigation uncovered that the investment director broke the company's gifts and entertainment policy.

Investigators also found he may have breached the signatory policy and used his personal email address for work purposes.

His suspension led to the liquidation of the nine unconstrained/absolute return bond funds that he was responsible for. An internal disciplinary process is ongoing.

Gam declined to comment on the takeover rumours.

Read more: Gam investment director investigation sparked by whistleblower