Wealth manager Tavistock Investments is to acquire Alpha Beta Partners (ABP), an asset-management firm based in London and Bath with around £3bn in assets under management.
The acquisition marks the latest step in Tavistock’s plan to enhance its presence in the UK retail investment market.
Tavistock will make an initial payment of £6m, with the total acquisition cost potentially reaching £18m depending on ABP’s financial performance over the next five years.
Brian Raven, Tavistock’s chief executive, stated: “Alpha Beta Partners is joining us at the ideal time. Their strategic plans and partnerships gel perfectly with ours, particularly in terms of how to improve investor services and value. We look forward to an exciting future together.”
Geoff Brooks, managing director of ABP, said: “We are delighted to be joining Tavistock to embark on the next phase of our growth and development, allowing us to continue to both support our existing clients and create new opportunities.
“Our team has been very impressed with everyone we have met at Tavistock and our strategic vision and ambitions are aligned.”
Founded in 2017, ABP is known for its ‘dynamic asset allocation’ process and modular investment solutions, earning 5 Star and 5 Diamond Ratings from Defaqto for five consecutive years.
It reported annualised earnings of over £500,000 and turnover exceeding £4 million for the nine months to 30 September.
Completion of the deal is subject to Financial Conduct Authority approval.
