Evelyn Partners is one of Britain’s biggest wealth management firms. The private equity company that owns it, Evelyn Partners PLC, is looking at options to reduce its £1.5 billion investment.
Permira has begun contacting advisers in order to sell the majority of its stake in a business that offers professional services ranging from tax and auditing advice to insolvency. The company is looking to capitalize on the wave of investor enthusiasm in this sector.
Evelyn’s accounting business is likely to be attractive to other private equity investors given the strong interest currently shown in the sector.
revealed earlier this month that Grant Thornton, Britain’s sixth largest accountancy firm, planned to attract outside investment from private equity firms. It would be following in the footsteps its American sister firm, which sold a majority stake in March to the buyout company New Mountain Capital.
In a $1 billion transaction in February, the US arm of accounting firm Baker Tilly agreed to sell a major stake to Hellman & Friedman, two private equity firms, and Valeas.
Waterland, a Dutch buyout firm, is believed to be exploring the sale of its majority share in Cooper Parry – a UK accounting practice. Cooper Parry, a professional services firm that has been around for many years, is credited with being a pioneer in the use of private equity to fund firms. Waterland invested in the company in 2022. The firm, which employs around 600 people in UK, used this investment to acquire competitors.
Evelyn Partners in London, with its chairman Chris Grigg was created through a series mergers of investment management and professional service firms. The company has approximately £61 billion in assets under management, and nearly 4,000 employees.
Chris Grigg, the former Chief Executive Officer of British Land and Chairman of Evelyn Partners, has been in this position since February 2022.
Permira, a private equity rival of Warburg Pincus, owns a quarter of Evelyn Partners. The remaining shares are owned by former and current staff.
Permira acquired Bestinvest in 2014, the online wealth manager and merged it with rival firm Tilney.
Warburg Pincus, an investor in 2020, provided capital for a merger of Tilney with accountancy firm Smith & Williamson. The combined business was renamed Evelyn Partners.
Professional services firms have shunned outside investors for years, as they are usually run by partners that are reluctant to cede control. The push to invest in artificial intelligent and other technologies in order to boost productivity has led many firms to bring outsiders in with deep pockets.
Warburg Pincus has declined to comment.
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