TRANSACTION SUMMARY

On 18 October 2010, BlueBay Asset Management plc and Royal Bank of Canada announced that their respective boards had reached an agreement on the recommended acquisition of BlueBay by RBC. Under the terms of the recommended public takeover, RBC valued the issued share capital of BlueBay at approximately £963m, representing a premium of approximately 58% to the average closing share price for the three months ended 15 October 2010. The acquisition was implemented by way of a Court sanctioned scheme of arrangement.

BLUEBAY ASSET MANAGEMENT

Founded in 2001, BlueBay Asset Management plc provides investment management services primarily to institutional investors and manages a combination of long-only and alternative products across the sub-asset classes of investment grade corporate debt, high yield corporate debt, emerging market debt, convertible bonds, distressed debt and multi-strategy debt strategies. Based in London with satellite offices in Stamford and Tokyo, BlueBay is one of the largest independent managers of fixed income debt funds and investment solutions in Europe, with approximately US$40.0bn of assets under management (as at September 30, 2010). Listed on the London Stock Exchange since November 2006, BlueBay was a constituent of the FTSE 250.

ROYAL BANK OF CANADA

RBC is Canada’s largest bank as measured by assets and market capitalisation, and among the largest banks in the world, based on market capitalisation. RBC is one of North America’s leading diversified financial services companies, and provides personal and commercial banking, wealth management services, insurance, corporate and investment banking and transaction processing services on a global basis. RBC is listed on the Toronto Stock Exchange and the New York Stock Exchange, and had a market capitalisation of C$79bn (£49bn) as at 15 October 2010. For the financial year ended 31 October 2009, RBC reported net income of C$3.9 bn (£2.1bn). As at 31 July 2010, RBC employed approximately 78,000 full- and part-time employees who serve close to 18m personal, business, public sector and institutional clients through offices in Canada, the US, and 51 other countries.

RBC GLOBAL ASSET MANAGEMENT

RBC Global Asset Management is part of RBC Wealth Management which directly serves affluent and high net worth clients in Canada, the US, Latin America, Europe and Asia. RBC Wealth Management provides integrated and diversified international wealth management expertise and solutions, asset management and trust services to high net worth individuals and to corporate and institutional clients. RBC Wealth Management has more than C$500bn (£310bn) of assets under administration, over C$250bn (£155bn) of assets under management and more than 4,500 financial consultants, advisors, private bankers and trust officers. For the financial year ended 31 October 2009, RBC Wealth Management reported net income of C$583m (£324m), 15.1% of total RBC net income.

ROLE

SHP acted as financial adviser to BlueBay.