RBS sells wealth manager Adam & Co
Canaccord Genuity Group is buying wealth manager Adam & Co from Royal Bank of Scotland for £54 million as the sector undergoes further consolidation.
Adam & Co’s Edinburghbased investment management business has client assets amounting to some £1.7 billion.
News of the sale follows speculation regarding a potential disposal as RBS parent Natwest Group focuses on its core UK banking operations.
Canaccord Genuity, which is undertaking the deal through its wealth management business in the UK, said the acquisition marked a “unique opportunity” for Canaccord Genuity Wealth Management to enter the Scottish market with a “deeply established franchise and a strong brand”.
CGWM UK intends to continue to operate the business under the name of Adam & Company. It added: “The business’s core client proposition will remain largely unchanged, and the existing direct relationships between clients and portfolio managers will not be affected.”
During the period to deal completion, the group intends to establish a new office location for the Adam & Co investment management business in central Edinburgh.
David Esfandi, chief executive of CGWM UK, said: “Adam & Company’s investment management business, a leading regional franchise with has a strong cultural fit and a similar client base to our own.”
Cash consideration of £54m will be paid on closing.
Earlier this week, Cornerstone Asset Management, which has offices in Edinburgh and Glasgow, was bought by Waverton Investment Management Group.