Key facts
- CD&R and Warburg Pincus are in talks to buy Canaccord Wealth.
- The firms are in advanced discussions for a joint takeover.
- Canaccord Wealth could be valued at over 1 billion pounds.
- Canaccord Wealth provides investment management, financial planning, and wealth advisory services.
Private equity firms CD&R and Warburg Pincus are reportedly in advanced talks to jointly acquire Canaccord Wealth, the British wealth management division of Canaccord Genuity. The firms have emerged as the leading bidders in an auction process that began last year.
Sources familiar with the matter told Reuters that the deal could value Canaccord Wealth at over 1 billion pounds ($1.34 billion). Spokespeople for CD&R and Warburg Pincus declined to comment, and Canaccord Genuity and Canaccord Wealth did not immediately respond to requests for comment.
Fenchurch, an investment bank, is advising Canaccord Genuity on the sale. HPS, a private credit firm owned by BlackRock that has held a minority stake in Canaccord Wealth since 2021, is expected to sell its shares as part of the transaction.
Canaccord Wealth offers investment management, financial planning, and wealth advisory services to private clients both in Britain and internationally. The potential sale comes amid a wave of consolidation in the UK's wealth management and financial advice sector, driven by firms seeking scale and capitalizing on increasing demand for such services. Earlier this year, NatWest Group acquired Evelyn Partners for 2.7 billion pounds ($3.6 billion).