Octopus Investments is acquiring Brewin Dolphin’s £40m enterprise investment scheme portfolio management service.
The service will be transferred to the Octopus Eureka EIS on October 21. The Eureka team manages £200m in Aim companies.
Brewin Dolphin says the move is part of its plans to focus on its core portfolio management business, which stands at £25bn. It would not confirm if the transfer involved a cash settlement.
Chancellor George Osborne announced a number of benefits to EISs in the 2011 Budget, including allowing EISs to invest in businesses with gross assets of £15m rather than £7m.
Brewin Dolphin head of corporate affairs Charlotte Black says: “We felt it would be better to transfer the portfolio rather than scale up the business.”