Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Aberdeen co-founder takes wealth firm public to fund acquisitions

Aberdeen co-founder takes wealth firm public to fund acquisitions

European Wealth has staged a reverse takeover of its parent company that will see it list on AIM.

The terms of the deal involve the firm’s listed parent EW Group – which owns almost half of European Wealth; a high proportion of the balance is owned by European Wealth’s managers – buying the entire business for £7.1 million. This constitutes a reverse takeover under the market’s rules.

‘We believe that significant opportunities for growth, both organic and acquisitive, exist within the wealth management industry,’ explained Paul Everitt, executive director of EW Group.

However, he argued that European Wealth’s current ownership arrangement ‘does not provide an efficient structure through which to raise growth capital’.

Everitt concluded: ‘For [European Wealth] to fully exploit the opportunities for growth, both organically and by acquisition, within the wealth management industry then the ownership…need[s] to be consolidated in order to provide clarity to current and future investors.’

The EW Group was founded in 2004 as a private-equity vehicle. In April 2012 it acquired a 33% stake in European Wealth, which it subsequently increased to 49% in March 2013.

Since the original investment in 2012, European Wealth has grown its funds under management from £150 million to more than £710 million today.

The firm is headquartered in London, and after a series of four acquisitions it has expanded with regional offices now in Brighton, Cheltenham, Worcester, Wokingham and East Malling. It currently employs 54 people and also draws on 11 consultants.

European Wealth’s founding team includes several industry veterans, including Aberdeen Asset Management co-founder George Robb, former Ashcourt chief executives Rod Gentry (pictured) and John Morton.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Brewin's Gutteridge: Yuan direction

Brewin's Gutteridge: Yuan direction

This week Brewin Dolphin's research head chats to Fidelity Asian Investment Directors Jenny Lee and Gary Monaghan about the big changes in China.

Play On the Road Challenge: horsing around on the polo pitch

On the Road Challenge: horsing around on the polo pitch

Libby Ashby takes to the polo pitch with Stuart Leigh-Davies from Redmayne-Bentley for an 'On the Road' challenge.

Brewin's Gutteridge: where Miton's Godber sees value

Brewin's Gutteridge: where Miton's Godber sees value

This week Brewin Dolphin's research head talks to George Godber, co-lead fund manager of the Miton UK Value Opportunities fund, about value investing.

Your Business: Cover Star Club

Profile: what tempted Brewin's Glasgow team over to Rathbones?

Profile: what tempted Brewin's Glasgow team over to Rathbones?

Rathbones’ Glasgow office has only been open for three months but the team, led by Angus Kerr, has already attracted new clients

Wealth Manager on Twitter