Rathbones spends £57.4 million to acquire two investment companies

Wednesday 09 April 2014

Jupiter Asset Management Limited’s has agreed to sell its private client and charity investment management business to Rathbone Investment Management Limited for £43.1 million.

And in another transaction, Rathbone Investment Management Limited (RIM) – a subsidiary of Rathbone Brothers Plc - has acquired part of the London private client wealth management business, Tilney Investment Management Limited (TIM) for £14.3 million. TIM is part of Deutsche Asset and Wealth Management.

The Managing Rathbones Jersey, Jonathan Giles, said this was good news for Rathbones and demonstrates the company’s ability to attract excellent investment talent to the business.

“Both Jupiter Asset Management and Tilney Investment Management will bring with them a number of offshore clients, so it is also a positive story for Rathbones’ Jersey office. We look forward to welcoming clients for both businesses,” he said.

As a result of the acquisitions, 32 employees of the two companies - 28 from Jupiter Private Clients, including 12 experienced investment managers, led by Andrew Clark, head of private clients,  five from Tilney, led by Jeremy Newman - will join Rathbones.

The Chief Executive of Rathbone Brothers Plc, Philip Howell, said the acquisitions demonstrated Rathbones ability to capitalise on earnings-enhancing acquisition opportunities to grow our business.

“We welcome the clients and investment teams of Jupiter and Tilney London and are sure that they will benefit from the stability and infrastructure that Rathbones provides. We expect to see more acquisition opportunities in the private client industry in the short to medium term. Raising capital now will give us flexibility to continue to take advantage of similar opportunities as they arise,” he said.