Standard Life Aberdeen (LON:SLA) announced this morning it has purchased 1237,938 of its ordinary shares from Merrill Lynch International with an average share price of 321.90 pence.
Last year, Standard Life and Aberdeen Asset united in a £11bn merger making it Europe’s second largest fund manager. However, the merger doesn’t seem to have achieved the fruits of its labor yet, with shares having lost around one quarter of their value during the last year.
At 8.57 BST SLA share price stood at 321.20, down 0.25 per cent, underperforming the Footsie which currently stands at 7566.63 points, up 0.045 per cent, after starting in the red this morning.
Half year results
The share purchase announcement comes following the posting of the Scottish investment company's half year results on August 7th when it reported a profit fall of £311 million, down from £335 million a year prior. At the time, Keith Skeoch and Martin Gilbert, chief executive officers at the group, commented that conditions in the asset management industry continue to be ‘challenging’ going on to say that they had been pleased by “progress on the integration programme and achievement of cost synergies.”
Following this, the Scottish fund manager said it would move its buyback programme along and 12 months after the merger completion the group continued to leak assets, with #16.6bn flowing out of the business, as reported in the Financial Times.