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.

Towry secures £70m package to fund wealth buy spree

Towry secures £70m package to fund wealth buy spree

Towry's creditors have granted it a new £70 million financing agreement.  

This new package, arranged by GE Capital, HSBC and RBS, reduces Towry’s cost of capital as well as securing additional funding for its expansion plans. 

The facility has already supported the acquisition of Baker Tilly's private client business on 29 April.   

'This agreement brings us excellent new lending relationships and additional finance, which further strengthens Towry’s strategy of acquiring wealth management firms that we see as a strong fit with the existing business,' Towry chief executive Rob Devey (pictured) said in a statement.

'Since the start of 2013, Towry has acquired six companies, and we continue to have secure financial backing to complete future deals.'  

The deal comes a few weeks after Towry's former chief executive Andrew Fisher stood down after eight years at the helm.,

The news coincided with full-year numbers from Towry in which it reported a 14.4% rise in assets to £5.6 billion, while operating profit was flat at £11.8 million. Over the 12 months Towry completed five acquisitions, including Bluefin Personal Consulting.

The accounts for Towry Holdings also revealed the company paid £2 million in exceptional regulatory costs, which included a review of its processes.

In a statement it said: ‘Exceptional regulatory costs in 2013 and 2012 relate to responding to the FCA on various regulatory matters. Following these discussions, Towry has undertaken various actions to address the issues raised, including reviewing our processes and ensuring that we have historically done the right thing for our clients.’

The company also indicated further related costs would continue to be incurred but that it could not determine the amounts and therefore had not set aside any provision for future costs.

A Towry spokesman said: 'With regards to regulatory costs, like many firms in our industry, we have reviewed our processes and ensured that we have historically done the right thing for our clients and where necessary, taken action.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play On the Road Challenge: Clay pigeon shooting with Thesis' Lansdowne

On the Road Challenge: Clay pigeon shooting with Thesis' Lansdowne

Eleanor Mahmoud goes clay shooting at the National Clay Shooting Centre with Sam Lansdowne from Thesis Asset Management

Play AA-rated Flood on gov't bonds: 'the maths doesn't add up'

AA-rated Flood on gov't bonds: 'the maths doesn't add up'

He also addresses why his Newton Multi-Asset Income fund has such a high cash weighting and why he sees renewables as such a good opportunity.

Play AAA-rated Ali: Identifying the peripheral European plays

AAA-rated Ali: Identifying the peripheral European plays

Citywire AAA-rated Tawhid Ali thinks that plenty of good stocks in the European periphery are being thrown out with the proverbial bath water.

Read More
Your Business: Cover Star Club

Profile: Brewin's Cardiff boss on the Welsh opportunity

Profile: Brewin's Cardiff boss on the Welsh opportunity

Prior to becoming head of Brewin Dolphin Cardiff, Welshman David Myrddin-Evans had only previously visited the city to watch the rugby.

Wealth Manager on Twitter