Wealth management firm Quilter has acquired Cheviot Asset Management and will merge the two businesses to create Quilter Cheviot.
The deal, funded by Quilter’s private equity parent Bridgepoint, is set to be completed by the end of the year, subject to FSA approval. The firms have not disclosed the terms of the transaction.
Quilter currently has £8.2bn assets under management and Cheviot £4.1bn, mostly run across discretionary portfolios.
Quilter has 385 staff based in 13 UK, Jersey and Ireland locations. Cheviot has 139 partners and other staff in offices in London and Liverpool.
The firms say they have yet to assess whether any job losses will be necessary as a result of the merger.
The group will be run by Quilter chief executive Martin Baines, while Cheviot chief executive Michael Kerr-Dineen will join the board of the new firm and act as a senior adviser.
Baines says: “We have made no secret of our intention to join forces with complementary businesses to accelerate our growth and there is a really strong fit between the two firms.”
Kerr-Dineen says: “The creation of Quilter Cheviot will provide wealth management clients with a tremendous source of advice, experience and security in today’s uncertain financial markets.”
Quilter confirmed last month it is in advanced talks to acquire Cheviot. Bridgepoint acquired Quilter from Morgan Stanley earlier this year for around £180m.