Brunswick called in to lead comms around Gartmore restructure

Brunswick is leading comms around the restructure of troubled Gartmore, after the crisis-hit fund called in Goldman Sachs to review its business.

Strategic review: Gartmore
Strategic review: Gartmore

Gartmore appointed the investment bank in early November to lead a ‘strategic review’, including a significant cost-cutting programme and potential sale after the departure of key staff.

It is understand that Goldman Sachs was the driving force behind Brunswick's appointment to communicate the restructuring process and likely sale or merger.

M:Communications had won a brief to lead Gartmore’s IPO in late 2009 and was retained after the listing. It is thought that M: is still retained by Gartmore, but that Brunswick is leading the fund manager's comms and media relations until its future is resolved.

Brunswick has been working for the firm since the appointment of Goldman Sachs, with Andrew Garfield and Gill Ackers leading the account.

Gartmore has had a troubled 2010 and has seen its share price drop by about 60 per cent during the course of the year. It emerged this week that Gartmore has cut staff numbers by ten per cent as it strives for long-term survival.

Gartmore’s shares first plummeted in March after the suspension of star fund manager Guillaume Rambourg, who was accused of breaking internal rules.

The company revealed that investors withdrew more than £1bn in the wake of his suspension.

Investor confidence took a further battering at the time of the restructuring announcement, with the retirement of Roger Guy, who ran Gartmore’s flagship European Large Cap fund management division.

Gartmore hopes to complete a sale or merger by the end of the year. Rivals Schroders and Aberdeen Asset Management have ruled themselves out of the running, but others such as Henderson, Hellman & Friedman and Artemis continue to be linked.

Both M:Communications and Brunswick were unavailable for comment.

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