Standard Life is in exclusive talks to buy Newton Investment Management’s wealth management arm for up to £90 million in a deal that could be announced imminently, according to sources in the City.
The Edinburgh-based life assurer’s bid for Newton’s £3.5 billion wealth portfolio is being led by Richard Charnock, head of its Standard Life Wealth division.
Other bidders have been circling Newton which has been up for sale since the end of last year when Evercore Partners was appointed to advise.
Among other potential buyers were Quilter, owned by private equity firm Bridgepoint, and private bank Rathbones. Standard Life is understood to have entered exclusivity following several rounds of bidding.
Helena Morrisey, chief executive of Newton Investment Management, which manages almost £50bn of assets, is also involved in the discussions.
Standard Life Wealth was created in 2007 and has made significant progress in driving organic growth, leveraging the franchise and investment capabilities of the wider Standard Life group, and cultivating relationships in the intermediary market to become the fastest growing UK discretionary fund manager last year. Its focus is on high net worth customers.
Neither company was prepared to comment.