The transaction values the business at £140 million and takes the form of a share deal.

LGT has agreed with the UK’s abrdn (the business formerly known as Standard Life Aberdeen) to buy its discretionary fund management business in the UK and Jersey. This transaction will involve about £6.1 billion ($6.45 billion) in assets.

The acquired business, which employs almost 140 people, looks after high net worth clients and charities.

When the transaction closes, LGT Wealth Management, the UK-based wealth manager and part of LGT, will assume the client relationships of the acquired business and all of its staff. LGT Wealth Management will increase its assets under management from around £22 billion as at the end of January 2023 to more than £28 billion.

LGT Wealth Management said it plans to expand its existing locations in London, Edinburgh, Bristol and Jersey. It also intends to expand its UK footprint by taking on the offices in Birmingham and Leeds currently operated by abrdn’s discretionary fund management business.

Completion of the transaction by way of a share deal is expected in the second half of 2023, once regulators give their consent. 

LGT said its offer values the firm at £140 million.