Liechtenstein-based private banking and asset management group LGT has agreed to purchase a significant majority stake in £5.6bn discretionary fund manager Vestra Wealth.
Subject to regulatory approval, the deal will give LGT a “significant foothold in the important British market” while enabling Vestra to enhance its services to clients.
The terms of the acquisition have not been disclosed, though Vestra Wealth will be renamed LGT Vestra and remain a partnership between LGT and its original partners.
Vestra was set up in 2008 by David Scott, a former managing director at UBS and co-founder of Scott Goodman Harris, the City financial advice firm acquired in by UBS in 2004.
Scott will be chairman of the board and Ben Snee will be chief executive.
With 234 employees across offices in London, Bristol and Jersey, Vestra Wealth provides investment management and wealth planning services to UK high-net-worth clients, while its private office offers outsourced private client services to ultra-high-net-worth individuals.
The largest private banking group wholly owned by one family, LGT is the family office of the Princely Family of Liechtenstein. At 31 December 2015 it had CHF132.2bn (£93.3bn) under management.
Vestra Wealth senior partner David Scott says: “We are proud to have LGT as our main investor partner.
“The group and its owner, one of the most long-standing families in Europe, share our philosophy and can support us in enhancing and strengthening our offering to clients.
“The family’s long-term approach was a key aspect in our decision to partner with the group, as it means we can focus on building sustainable success, as well as enhancing the opportunities for our loyal staff.
“LGT’s purchase of a majority stake also allows some of our initial investors to be rewarded for the risk they took and their belief in our success when we started the business.”