SIX Exchange Regulation AG has submitted a request for a sanction with the Sanctions Commission of SIX Group against GAM Holding AG concerning an alleged violation of the applicable accounting standards (IFRS) in the 2017 annual financial statements.
After completion of its investigation, SIX Exchange Regulation AG holds that the 2017 IFRS annual financial statements of GAM Holding AG contain a potentially material misstatement. The identified alleged deficiencies refer to the treatment of a financial liability in relation to specific negotiated contractual terms in connection with the acquisition of Cantab Capital Partners LLP on 3 October 2016. In SIX Exchange Regulation AG’s view, GAM Holding AG has presumably failed to estimate this obligation and to recognise a financial liability as of the acquisition date and at subsequent balance sheet dates. As a consequence of these alleged deficiencies, it is SIX Exchange Regulation AG’s view that financial liabilities are understated in the balance sheet of the 2017 annual financial statement of GAM Holding AG and that a potentially significant revaluation effect has not been recognised in the income statement.
The violations alleged by SIX Exchange Regulation AG are disputed by GAM Holding AG.
The duration of the sanction proceedings is not defined. SIX Exchange Regulation AG will inform the public about the outcome of the sanction proceedings. No information will be provided while the sanction proceeding is ongoing.
