Swedish bank Handelsbanken has acquired wealth and investment management firm Heartwood Wealth Group for an undisclosed sum in a move which will see the bank launch a wealth management service for UK customers.
Handelsbanken was established in 1871 and has 147 UK branches and over 750 branches globally.
Heartwood has over £1.5bn in funds under management and provides wealth management services including discretionary management, financial planning and tax advice to private clients. Its investment management service also works with financial advisers, charities and professional advisers.
Under the terms of the deal, which is subject to FSA approval, Heartwood will become a fully owned subsidiary of the Handelsbanken group. The acquisition has been backed by a majority of Heartwood shareholders, and formal approval will now be sought from remaining shareholders.
Handelsbanken says it will not set Heartwood advisers any sales or product targets.
UK chief executive Anders Bouvin says: “This is an ideal match at the right time for both businesses. We believe our shared values will result in a uniquely customer-led banking, wealth and investment management service in the UK.”
Heartwood chief executive Simon Lough, who will continue in his role, says: “The Heartwood team has worked hard to build our business on the recommendation of clients we have served well, so partnership with Handelsbanken, which has grown on a very similar basis, is a very natural progression for our firm. It will enable us to make our services available to many new clients in more ways.”