The AMP Ltd (ASX: AMP) share price is falling on Friday. The dip comes as the company’s approximately $8 billion wholesale office fund faces a poaching attempt.
Mirvac Group (ASX: MGR) is aiming to fight for control of the AMP Capital Whole Sale Office Fund (AWOF) ahead of the potential takeover of Collimate Capital.
At the time of writing, the AMP share price is $1.06, 2.76% lower than its previous close.
For context, the S&P/ASX 200 Index (ASX: XJO) is also struggling today, slipping 1.6%.
Let’s take a closer look at today’s reports of the embattled financial services company.
Is AMP facing another battle for AWOL?
The AMP share price is in the red on Thursday. The dip comes amid Mirvac throwing a potential complication at what reportedly could be a $300 million takeover.
An AMP spokesperson confirmed that Mirvac has proposed it take control of the fund.
Mirvac has asked the fund’s trustee to engage with its proposal and allow it to conduct due diligence, reports The Australian.
The fund’s trustee has asked the AWOF independent commission to consider Mirvac’s request.
Mirvac was among the contenders for the management of AWOF when the fund’s management was questioned last year. AMP Capital’s private markets business – since renamed Collimate Capital – ultimately kept its grasp on AWOL in November.
Until recently, AMP intended to simply demerge its private markets business. However, that plan has been flipped on its head, with the financial services company now in discussions to sell it.
It announced it’s in talks with multiple parties interested in purchasing Collimate Capital, including Dexus Property Group (ASX: DXS), on Tuesday. The AMP share price rose 0.94% in response to the news.
Mirvac’s proposed management of AWOL reportedly has the backing of major super funds and some AWOL investors. Though Dexus is said to be preferred by many investors.
The super funds are reportedly discontent with the fund’s current management and the shifting future of Collimate Capital.
The Motley Fool Australia reached out to Mirvac for comment but didn’t receive a response in time for publication.
AMP share price snapshot
AMP is recovering from a disastrous 2021 wherein its share price fell 35%.
The company’s stock has gained 5% year to date. Though, it’s still 6% lower than it was this time last year.
The post AMP share price sinks amid asset sale complications appeared first on The Motley Fool Australia.
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More reading
- Why is the AMP share price having such a top run on Thursday?
- How the federal election will impact ASX shares: top economist
- ASX 200 midday update: AMP asset sale talks, Syrah rockets
- AMP share price on watch amid Collimate Capital sale talks with Dexus and ‘multiple’ parties
- Own AMP shares? Here’s the latest on the company’s planned demerger
Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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