UPDATE 1-Brokerages Ambrian, Panmure end merger talks

* Ambrian's shares fall 6.6 pct, Panmure down 10.2 pct

* Evolve expects Blue Oar deal to become unconditional

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LONDON, Dec 23 (Reuters) - British brokerages Ambrian Capital Plc (AMBN.L: Quote, Profile, Research) and Panmure Gordon & Co Plc (PMR.L: Quote, Profile, Research) abandoned talks on a possible merger even as linkup between two rival firms looked set to be completed.

Ambrian and Panmure had announced they were considering a tie-up on Dec. 8 and an analyst said at the time that the companies wanted to strengthen their balance sheets and reduce costs in difficult market conditions.

They gave no reason for the failure of the merger plan but a source close to the deal said the two could not agree terms, with Panmure's U.S operation ThinkEquity, which it bought last year, a stumbling block.

Shares in Ambrian closed down 6.6 percent at 14-1/4 pence, while Panmure was down 10.2 percent at 22 pence.

Separately, Evolve Capital Plc (EVOLV.L: Quote, Profile, Research) said its offer for rival Blue Oar Plc BLUE.L had been accepted by the owners of 50.8 percent of the target company's shares and it therefore expected the bid to become unconditional.

Evolve is taking over Blue Oar in an all-share deal which values the company at 17.9 million pounds ($26.5 million). (Reporting by Paul Sandle; Editing by David Holmes)