UK financial advice firm Tilney and professional services group Smith & Williamson have both confirmed that they are in “exclusive discussions” over a possible acquisition.
Tilney is looking to resurrect a deal to buy Smith & Williamson after its previous attempt failed in 2017.
It said in a statement: “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.
“A merger of Tilney and Smith & Williamson would create a market-leading, integrated UK wealth management and professional services group with over £45bn ($55bn, €49bn) of assets under management.”
Both firms said that “these discussions are ongoing and there can be no certainty that a transaction will proceed” and “a further announcement will be made as and when appropriate”.
Previous talks
In August 2017, Tilney made an all-cash offer for Smith & Williamson, disrupting a planned £2bn union with Rathbones that was expected to be announced within weeks.
Rathbones said at the time that it was in exclusive talks with Smith & Williamson to discuss the possibility of creating a £56bn entity via an all-share merger.
Neither deals were completed.
This left Smith & Williamson contemplating a stock market flotation instead, which was meant to be carried out in 2019.
It is unknown if the firm will still do this if a potential deal with Tilney falls through.
Offices
Smith & Williamson has 12 offices in the UK and crown dependencies and Ireland: Bristol, Birmingham, Cheltenham, Guildford, Salisbury and Southampton, Belfast and Dublin (City and Sandyford), Jersey; and Glasgow, with the headquarters in London.
Tilney is also headquartered in London and has 55 offices across the UK.
