Schroder Asian Total Return Investment Company agrees combination with Pacific Assets Trust

The board of directors of Schroder Asian Total Return Investment Company plc (ATR) has agreed heads of terms with the Pacific Assets Trust plc board for a proposed combination of the two companies.

If approved by the shareholders of both companies, the combination will be implemented following a scheme of reconstruction and members’ voluntary winding up of Pacific Assets.

The companies’ boards argued the combination should provide substantial benefits for ATR and continuing Pacific Assets shareholders.

These included exposure to ATR’s investment strategy, managed by Robin Parbrook and King Fuei Lee, its long-term performance track record, and increased scale, relevance, and liquidity.

The enlarged ATR is expected to have a pro forma NAV of approximately £1.1bn, based on the two companies’ respective NAVs as at 9 June 2026, and assuming the cash option is subscribed in full.

“'We are delighted to announce a combination with Pacific Assets,” commented ATR chair, Sarah MacAulay.

“ATR has an outstanding track record of both absolute and relative returns, a rigorous and consistent discount management policy and a competitive management fee.

“The proposed combination will provide shareholders with the scale and liquidity that is increasingly desired in the investment trust industry.

“The board believes that the proposed combination is compelling for Pacific Assets, ATR and prospective shareholders and will position ATR for future growth as the pre-eminent Asia Pacific investment company.”

Pacific Assets chair, Andrew Impey, added: “After a thorough review of a large number of high-quality proposals as part of the strategic review, we are delighted to be able to announce the combination with ATR.

“ATR has an impressive record of attractive total returns from a differentiated investment strategy and a track record of strong discount management.

“We have every confidence that the enlarged company will be a leading Asian equities investment company for existing and future investors.”

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