S&P raises concerns over Amvescap acquisition

Tuesday 24 January 2006 at 16:00

Amvescap, the fund manager, might require external financing for its acquisition of US-based PowerShares if the firm meets performance targets, driving up the price of the deal.

Standard & Poor's, the ratings agency, said it has retained its negative outlook for Amvescap but warned additional payments for PowerShares could be substantial and could force the company to turn to the capital markets to seek external financing.