Activist Elliott increases stake in UK wealth manager Brewin Dolphin
LONDON (Reuters) -Elliott has pushed its stake above 5% in Brewin Dolphin, a British wealth supervisor which is below supply from Royal Financial institution of Canada, the activist investor stated on Friday.
Elliott’s stake reached 5.2% as of Could 12, it stated in a regulatory submitting. Elliott declared a 2.42% stake earlier this week.
Brewin Dolphin’s shares have jumped 61% to 512 pence a share since RBC made its 515-pence supply in March, valuing the agency at 1.6 billion kilos ($1.95 billion).
Brewin this week reported a 2.3% rise in first-half adjusted revenue earlier than tax and stated the RBC takeover was anticipated to finish by the tip of the third quarter.
Elliott could also be anticipating a counter-offer for Brewin, two banking business sources stated, with one including that the wealth supervisor nonetheless regarded undervalued on the present supply value.
Elliott, which additionally has stakes in power agency SSE, drugmaker GlaxoSmithKline and homebuilder Taylor Wimpey, declined to remark.
Wealth managers and funding platforms are in demand in Britain as retail funding grows.
JPMorgan purchased digital wealth supervisor Nutmeg in June 2021 and asset supervisor abrdn purchased interactive investor in Dec 2021.
($1 = 0.8189 kilos)
(Reporting by Carolyn Cohn, Enhancing by Louise Heavens)
