Tilney and Smith & Williamson, two of Britain’s biggest private wealth managers, are currently in talks over a potential merger that could lead to an approximately £45bn in assets under management.
According to a report from Financial Times, the two wealth managers have been in talks for two months and still has no fixed deal to date. However, it was expected that the new deal would create a business with around 250 financial planners.
“Following recent media speculation, the board of Tilney confirms that it is in exclusive discussions with Smith & Williamson about a potential combination of our businesses,” Tilney announced on Monday.
“A merger of Tilney and Smith & Williamson would create a market-leading, integrated UK wealth management and professional services group with over £45bn of assets under management. These discussions are ongoing and there can be no certainty that a transaction will proceed. A further announcement will be made as and when appropriate,” the statement continued.
Headquartered in Mayfair, London, the Tilney Group takes pride in over 1,000-strong staff distributed across their 30 offices. Last year, the company was estimated to had £24 billion in assets.
Smith & Williamson has also confirmed the said merger talks. In a statement, the company explained:
“The respective boards believe that a merger of Smith & Williamson and Tilney has the potential to deliver significant benefits to the clients, employees, partners and shareholders of both businesses and create a market-leading, integrated, UK wealth management and professional services firm. Discussions remain ongoing and at this stage, there is no certainty that a transaction will proceed. A further announcement will be made in due course.”
Founded in 1881, Smith & Williamson stands as the 8th among the top 75 firms in an annual survey conducted by the Accountancy Daily.
If the deal pushes through, acquiring Smith & Williamson would enable Tilney to double its assets under management and become one of the largest wealth managers by assets in the UK.