Scottish Friendly Assurance, which handles the back-office administration for Nucleus and the Aviva Wrap, is selling its wrap admin business to Citi.
The deal will see the transfer of all 134 Scottish Friendly wrap administration employees to Citi.
The business is being sold to Global Transaction Services, a division of Citi’s institutional clients group.
On completion, Scottish Friendly’s wrap business will be integrated into Open Wealth, Citi’s service offering for wealth managers.
Nucleus chief operating officer Andy Smith says: “The transaction accords precisely with our market expectations and it appears the market continues to develop in line with our plans.
“I am sure Citi will be keen to build on the foundation Scottish Friendly has established and we look forward to consolidating our position as the fastest-growing independent wrap in the UK.”
Mitchell Moneypenny managing director Nicola Mitchell says: “Scottish Friendly has shown excellent performance and this is a sensible move to consolidate. I think it will be advantageous to Nucleus in terms of extending its reach to advisers through Citi.”