Talks on a proposed merger between Bermuda-based Gerova Financial Group and UK investment bank Seymour Pierce are expected to be terminated within days, the UK press reported yesterday.Instead Keith Harris, Seymour Pierce’s chief executive, is expected to pursue a merger with Ticonderoga Securities, led by Joel Plasco, the former chief executive of London investment bank Collins Stewart, the Mail on Sunday reported.Gerova, which last year redomiciled to Bermuda from the Cayman Islands and which established a life reinsurance unit based in Cumberland House, has seen its share price plummet from a high of $92.50 last June to $6.57 last Friday.The merger had been expected to go through by the end of next month.The Mail reported that Mr Harris intends to look into Gerova’s problems and try to find solutions. If he can resolve the issues, the amalgamation could be resurrected to be part of a three-way merger with Seymour Pierce and Ticonderoga.Harris still intends to become chairman of the combined company which will be called Seymour Pierce.The group is expected to look at plans to raise capital which could be announced as early as this week.Mr Harris is known in Britain as “Mr Football” for his role in advising on football-related deals such as Roman Abramovich’s acquisition of Chelsea FC. He is also seeking to acquire Manchester United through the Red Knights consortium. Mr Harris has also advised Newcastle United, Everton and West Ham United and he is a director of Wembley National Stadium.Last December Gerova had engineered a reverse takeover of Seymour Pierce that would have seen Mr Harris become chairman of a group worth about $600 million.It would earn Mr Harris an estimated $15 million payout from his 25 percent stake in Seymour Pierce.But Gerova’s shares plunged by over a third last week after its newly-named chairman Dennis Pelino refused to take the job.Mr Pelino’s decision to walk came just days after the resignation of former chairman Gary Hirst and four board members following Gerova’s announcement of a board overhaul.Mr Harris last week postponed his new role as chairman and the ongoing concerns could mean that Seymour Pierce has to abandon the plans.Michael Hlavsa, Gerova’s chief financial officer, is to lead the firm until it recruits a new chairman.