International financial services group Team is set to acquire eight investment mandates from UK-based investment management business Epic Markets for £1m as well as Guernsey-based financial planning business Epic Funds Services Guernsey for £880,000.
The deal follows the acquisition of WH Ireland, which completed last week, and are part of the group’s expansion plans.
The Epic book consists of eight institutional-quality investment mandates representing approximately AUM of £157m. These are:
- Multi-asset/model portfolio services: c. £33m AUM
- Multi-asset funds (including VT strategies): c. £29m AUM
- Credit/fixed income/specialist mandates: c. £68m AUM
- Equity strategies and other mandates: c. £27m AUM
Mark Clubb, chairman of TEAM, said: “The Epic Book and EPic Guernsey are very different businesses, but both are highly suited to joining the Team Group.
“We believe [the Epic book] represents excellent value for our shareholders. Furthermore, the assets are already aligned with our multi-asset approach and will integrate directly into our platform.”
With Team being headquartered in Jersey, acquiring a Guernsey-based business fits geographically, the group said, and provides an established fiduciary licence and operating platform which is expected to be earnings accretive when integrated with Team’s platform.
“Governance and fiduciary services are a critical part of our value chain,” Clubb added. “By acquiring Epic Guernsey, we are taking control of this area for ourselves, alongside developing the existing platform and marketing their services to our wider client network.
“We know the business well and we are confident of building on the current recurring revenue base, and making this into a strong profit centre, alongside giving us additional opportunities for new client origination and retention.”
The acquisitions are subject to regulatory approvals and will be settled in Team shares issued on completion.
