Today AIM-listed asset manager Premier Miton announced that it is withdrawing its bid to acquire its sector peer River and Mercantile.

Premier Miton announced on 23 November that it had approached the board of River and Mercantile to explore acquiring the entire issued share capital of R&M, at that time AssetCo had also tabled a bid for the firm.

R&M had extended the deadline for what was then both AssetCo and Premier Miton to formally make a bid until 5pm on 18 January. Less than a week to that deadline, with Premier Miton withdrawing from the process, all eyes will be on AssetCo to see if this deal gets over the line.

AssetCo had previously said the deal would be ‘highly complimentary’ and a combination of the businesses would ‘create significant value for the combined group's clients, portfolio managers, employees and shareholders’.

Premier Miton’s chief executive Mike O'Shea said in a statement to the markets: "We are most grateful to the Board of RMG for their co-operation and assistance as we have assessed the merits of a possible transaction, especially so given the major changes ongoing in their business.

“We have concluded that there are insufficient commercial merits for our shareholders to make a formal proposal for the acquisition of RMG. We wish the employees at RMG well for their future and we look forward with confidence to pursuing our own strategic plans for organic growth while at the same time exploring tactical and strategic opportunities that can further strengthen our business and accelerate our growth."