The acquisition for the Johannesburg-listed wealth manager boosts AuM and access to the UK's southern wealth market.

Sanlam UK is acquiring Thesis Asset Management for an undisclosed sum, swelling its discretionary assets under management to £4.2 billion ($5.4 billion) by adding a firm with £1.2 billion in AuM, the international financial services firm announced yesterday.

Thesis will operate under the Sanlam UK brand once the transaction is completed, subject to the usual regulatory approvals.

The merger will increase Thesis AM’s presence in the South of England, adding offices in Guildford, Lymington, Chichester and Brighton to Sanlam’s regional wealth management network, the statement said.

Sanlam will acquire Thesis’ private client business, distribution network, direct support teams and its financial planning business, boosting overall operations with 30 Thesis financial professionals. The group told this newswire that the acquisition would not result in any job losses and would “only increase our headcount.”

The purchase consolidates the foothold both firms have established in the UK intermediary market and aligns with amibtions set out by Sanlam’s chief executive, Jonathan Polin in 2016.

In 2017, Polin appointed ex-Close Brothers head of private clients, Penny Lovell, to run Sanlam's new private office, and boost the South Africa-based wealth firm's UK profile among high net worth clients.

“Thesis is a high quality business and an important strategic fit for Sanlam in the UK. It was clear from the outset of our discussions with the Thesis management team that we were fully aligned in terms of investment philosophy, culture and an unwavering commitment to client service. We have high ambitions to make Sanlam a leader in client-centric wealth management and our acquisition of Thesis is an important milestone in that journey,” Polin said.