diff --git a/runelite-client/src/main/java/net/runelite/client/chat/ChatMessageManager.java b/runelite-client/src/main/java/net/runelite/client/chat/ChatMessageManager.java
index 91d7c99683..c212b8fee5 100644
--- a/runelite-client/src/main/java/net/runelite/client/chat/ChatMessageManager.java
+++ b/runelite-client/src/main/java/net/runelite/client/chat/ChatMessageManager.java
@@ -164,9 +164,16 @@ public class ChatMessageManager
 			stringStack[size - 4] = ColorUtil.wrapWithColorTag(channel, channelColor);
 		}
 
+		String prefix = "";
+		if (chatMessageType == ChatMessageType.CLAN_GIM_CHAT || chatMessageType == ChatMessageType.CLAN_GIM_MESSAGE)
+		{
+			message = message.substring(1); // remove |
+			prefix = "|";
+		}
+
 		if (messageNode.getRuneLiteFormatMessage() != null)
 		{
-			stringStack[size - 2] = message = formatRuneLiteMessage(messageNode.getRuneLiteFormatMessage(),
+			message = formatRuneLiteMessage(messageNode.getRuneLiteFormatMessage(),
 				chatMessageType, splitpmbox);
 		}
 
@@ -178,20 +185,15 @@ public class ChatMessageManager
 				continue;
 			}
 
-			String prefix = "";
-			if (chatMessageType == ChatMessageType.CLAN_GIM_CHAT || chatMessageType == ChatMessageType.CLAN_GIM_MESSAGE)
-			{
-				message = message.substring(1); // remove |
-				prefix = "|";
-			}
-
 			// Replace </col> tags in the message with the new color so embedded </col> won't reset the color
 			final Color color = chatColor.getColor();
-			stringStack[size - 2] = prefix + ColorUtil.wrapWithColorTag(
+			message = ColorUtil.wrapWithColorTag(
 				message.replace(ColorUtil.CLOSING_COLOR_TAG, ColorUtil.colorTag(color)),
 				color);
 			break;
 		}
+
+		stringStack[size - 2] = prefix + message;
 	}
 
 	@Subscribe
diff --git a/runelite-client/src/test/java/net/runelite/client/chat/ChatMessageManagerTest.java b/runelite-client/src/test/java/net/runelite/client/chat/ChatMessageManagerTest.java
index 5f5d2d59a9..e2958e8ba9 100644
--- a/runelite-client/src/test/java/net/runelite/client/chat/ChatMessageManagerTest.java
+++ b/runelite-client/src/test/java/net/runelite/client/chat/ChatMessageManagerTest.java
@@ -69,7 +69,7 @@ public class ChatMessageManagerTest
 		Guice.createInjector(BoundFieldModule.of(this)).injectMembers(this);
 	}
 
-	private void setupVm(ChatMessageType type, String name, String message)
+	private MessageNode setupVm(ChatMessageType type, String name, String message)
 	{
 		MessageNode messageNode = mock(MessageNode.class);
 		when(messageNode.getType()).thenReturn(type);
@@ -92,6 +92,8 @@ public class ChatMessageManagerTest
 		when(client.getStringStackSize()).thenReturn(sstack.length);
 		when(client.getIntStack()).thenReturn(istack);
 		when(client.getIntStackSize()).thenReturn(istack.length);
+
+		return messageNode;
 	}
 
 	@Test
@@ -187,4 +189,24 @@ public class ChatMessageManagerTest
 
 		assertEquals("<col=000000>Total points: <col=ff0000>42<col=000000>, Personal points: <col=ff0000>43<col=000000> (<col=ff0000>44<col=000000>%)", formattedMessage);
 	}
+
+	@Test
+	public void testGim()
+	{
+		when(chatColorConfig.opaqueClanChatInfo()).thenReturn(Color.RED);
+		when(chatColorConfig.opaqueClanChatInfoHighlight()).thenReturn(Color.BLUE);
+
+		// rebuild color cache
+		ConfigChanged configChanged = new ConfigChanged();
+		configChanged.setGroup("textrecolor");
+		chatMessageManager.onConfigChanged(configChanged);
+
+		MessageNode messageNode = setupVm(ChatMessageType.CLAN_GIM_MESSAGE, "", "rsn received a drop: 8 x Bronze bolts (16 coins).");
+		when(messageNode.getRuneLiteFormatMessage()).thenReturn("<colHIGHLIGHT><u>rsn</u><colNORMAL> received a drop: 8 x Bronze bolts (16 coins).");
+
+		chatMessageManager.colorChatMessage();
+
+		// | <chat color> <highlight color>
+		assertEquals("|<col=ff0000><col=0000ff><u>rsn</u><col=ff0000> received a drop: 8 x Bronze bolts (16 coins).</col>", sstack[2]);
+	}
 }
\ No newline at end of file