LGT acquires wealth management business from abrdn in the UK

28 February 2023

LGT has reached an agreement with the asset management company abrdn to take over its wealth management business in the UK and Jersey. With this transaction, which includes assets under management of around GBP 6.1 billion and almost 140 employees, LGT is further expanding its position in the British market.

The attractive wealth management business in the UK and Jersey that LGT is taking over from abrdn comprises a profitable, long-standing client portfolio made up primarily of high net worth individuals domiciled in the UK, as well as charitable organizations and foundations. Upon completion of the transaction, client relationships and employees will transfer to LGT Wealth Management, which is based in the UK and part of the LGT Group. LGT Wealth Management will thus increase its assets under management from around GBP 22 billion at the end of January 2023 to around GBP 28 billion. In order to integrate the additional employees, LGT Wealth Management plans to expand the existing locations in London, Edinburgh,

Ben Snee, CEO of LGT Wealth Management: “Abrdn’s wealth management and LGT are a very good strategic fit: the two companies are very similar culturally and in terms of their focus and goals. Both want to offer their clients first-class solutions and are passionate about sustainable investments We are very much looking forward to welcoming our new colleagues and we are convinced that with our range of products and services and thanks to abrdn’s proven expertise in advising charities in the UK can continue to grow.”

The transaction, in the form of a share purchase, is expected to close in the second half of 2023, upon receipt of regulatory approvals. The agreement provides for a purchase price of GBP 140 million (approximately CHF 158 million).

Continuation of growth course in Great Britain

With the agreed takeover, LGT is strengthening its market position in Great Britain, one of its key European markets. It has continuously expanded its wealth management business in the UK and offers a wide range of long-term investment solutions to wealthy individuals, financial advisors and institutional clients. LGT Wealth Management (formerly Vestra Wealth) was founded in 2008 and acquired by LGT in 2016. LGT Wealth Management currently employs around 475 people.

HRH Prince Max von und zu Liechtenstein, Chairman LGT: “We are very much looking forward to welcoming abrdn’s wealth management clients to LGT. The company’s strong investment performance and ESG strategy are a perfect fit for LGT We are convinced that our stability, our entrepreneurial spirit, our focus on excellent customer service and our investment expertise make us a reliable and attractive partner for the new clients.”

Source: LGT