European shares sink to new three-month low, GAM plummets
(ADVISORY - Reuters plans to replace intra-day European and UK stock market reports with a Live Markets blog on Eikon - see cpurl://apps.cp./cms/?pageId=livemarkets for site in development. See the bottom of the report for more details) Updates prices)
* FTSEurofirst 300 index down 1.3 percent
* GAM slumps after profit warning
* Volatility index surges to four-month high
* ECB seen pledging to backstop markets after a Brexit
By Atul Prakash and Danilo Masoni
LONDON/MILAN, June 14 (Reuters) - European shares fell for a fifth straight session on Tuesday, with investors anxious about next week's referendum on Britain's membership of the European Union and the Federal Reserve's two-day meeting starting later in the day.
Swiss money manager GAM Holding dropped 18 percent to a 4-1/2-year low after warning it expects a roughly 50 percent year-on-year fall in first-half underlying profit before tax, mainly due to lower performance fees.
However, Premier Farnell surged 50 percent after Daetwyler Holding agreed to buy it in an all-cash offer that valued the British electronic component distributor at just over 1 billion Swiss francs ($1 billion). Continuación...