Cazenove Capital Management, the UK wealth manager owned by Schroders, has reached an agreement with C. Hoare & Co. to acquire its wealth management business.
Financial terms of the transaction have not been disclosed and the deal is expected to complete in the first quarter of 2017.
C. Hoare & Co. is a London-based private bank with a 300-year history of providing banking services to high net worth and ultra-high net worth clients.
Over the last decade, it has expanded its service offering into the growing wealth management industry and has grown to around 1,800 clients and £2.2bn of discretionary assets under management, according to company figures as at the end of June 2016.
In a statement released by Cazenove parent company Schroders, it said the acquisition fits with the firm’s strategy of growing its wealth management business.
Peter Harrison, group chief executive at Schroders, said: “C. Hoare & Co.’s culture of client focus and client service are a strong fit with Schroders.
“This acquisition of its UK wealth management business grows our business in this area. I am confident that the relationship will create long-term value and benefits for clients, shareholders and employees.”
Andrew Ross, chief executive at Cazenove Capital Management, said the combination of the two businesses will bring “significant benefits and enhanced opportunities for our clients”.
Alexander Hoare, Partner and Director at C. Hoare & Co., said in a statement that the firm had chosen Cazenove Capital because the firms share “established heritages and similar cultures”.
“We are very proud of the wealth management business that we have built over the last decade and we are keen for it to continue to flourish,” he said. “We look forward to an ongoing relationship with Cazenove Capital.”
Hoare added that expected that all the firm’s wealth portfolio managers will move to Cazenove Capital Management so that “the same person will continue to look after our customers investments,” he said.
C. Hoare & Co. is an English private bank. It is the oldest bank in the United Kingdom and the world’s fourth oldest bank. Founded in 1672 by Sir Richard Hoare, C. Hoare & Co. remains family-owned and is currently managed by the 11th generation of Hoare’s direct descendants.