Canaccord Genuity WM In UK Completes Punter Southall Wealth Deal

Editorial Staff

21 February 2024

Canaccord Genuity, the Canada-listed group, announced last week that its wealth management business in the UK and Crown Dependencies has completed the previously-announced acquisition of Punter Southall Wealth.

The group said it expects to achieve “tangible revenue and cost synergies” from the transaction, without identifying specific numbers in a statement.

PSW, which has about £4.8 billion ($6.03 billion) in client assets, generated annual revenue of around £34.7 million in the year ended 31 December 2021. in the UK has also bought the Edinburgh-based investment business, Adam & Co, boosting its footprint in the UK. CGWM UK's chief executive, David Esfandi, has explained his firm’s strategy to WealthBriefing here.

In the statement on the Punter Southall Wealth transaction, Esfandi said: "We are so pleased to welcome the PSW team which brings a strong and complementary fit for our advice-led offering and builds on our footprint in the UK, including an expanded presence in Scotland.”

CGWM UK will add £100 million to its existing bank facility. In addition, HPS Investment Partners, on behalf of investment accounts and funds it manages, has made an additional investment in CGWM UK through the purchase of a new series of convertible preferred shares of CGWM UK in the amount of £65.3 million.

As a result of the move, HPS Investment Partners holds an approximate 66.9 per cent equity stake in CGWM UK on an as-converted basis.