Canaccord Genuity Wealth Management UK & Europe has acquired more than 100 client portfolios from Duncan Lawrie Private Banking’s Isle of Man unit.
The portfolios comprise of 62% those that use discretionary investment management and 38% execution-only stock broking services 38%, according to various reports.
As reported, Duncan Lawrie sold its investment management business to Brewin Dolphin at the end of last year and disposed of a loan book to Arbuthnot at the start of this year.
It is understood that no Duncan Lawrie staff will be moving to Canaccord following the transaction.
Canaccord chief executive of wealth management in UK & Europe David Esfandi said that the acquisition of the Duncan Lawrie client portfolios on the Isle of Man was a “great fit” for the business.
As reported last year, further discussions are said to be currently under way “with a number of other parties” with respect to Duncan Lawrie’s Isle of Man-based offshore trust services business.
In a statement, London-based Duncan Lawrie cited a previously-noted “change in the outlook for private banking”, coupled with the “conservative risk appetite” and “opportunities for investment elsewhere in the group” on the part of its parent, Camellia Plc, for the decision to sell off the Duncan Lawrie businesses.
Arbuthnot Latham paid £42.7m for “the majority of Duncan Lawrie’s UK loans and certain of its Isle of Man loans”, which Duncan Lawrie says equates to 95% of the total £44.9m value of the outstanding loans, according to the statement, which is posted on the Duncan Lawrie website.
A subsequent orderly wind down of Duncan Lawrie’s deposit taking and other banking operations in the UK and Isle of Man has, the company adds, been proposed.
Following the sale, Duncan Lawrie will be “fully funded to return all cash balances to clients”, the bank said.
Roots in 19th C India
Although the current Duncan Lawrie business dates back only to 1971, the roots of the business go back some 150 years, according to a history on the company’s website. That was when two Scotsmen, Alexander Lawrie and Walter Duncan, made their way to Calcutta from Glasgow and Edinburgh respectively, and started businesses that they named after themselves, which eventually were merged into one.
The company’s parent, Camellia, is still involved in the production and marketing of tea, one of the areas in which the founders of Duncan Lawrie got their start.
It wasn’t immediately known whether the Duncan Lawrie name will continue to exist in any way once the sale of the various parts of the business have been completed.