Bestinvest founder and majority shareholder John Spiers has sold control of the company to private equity group 3i.
Spiers relinquished the bulk of his share in the IFA firm, but retains an undisclosed amount.
“After much careful thought I’ve decided that this would be an appropriate time for my family and me to sell a large part of our shareholding in Bestinvest,” Spiers says.
“While I believe the opportunities for Bestinvest are greater than ever, it makes little sense for so much of the share capital to be owned by a largely passive shareholder who is becoming more interested in capital preservation than future growth."
Founded by Spiers in 1986, Bestinvest currently controls client assets exceeding £3.7bn.
"My decision to accept a bid from 3i was heavily influenced by the respect for our culture of independence and willingness to back our existing management team,” Spiers says.
Current CEO Andrew Barnes will continue to lead the existing management team.
“3i clearly understands the wealth management sector and our business and therefore quickly became the most obvious partner for Bestinvest,” Spiers says.
“Selling to a product provider was never a realistic option.”
The terms of 3i’s investment is yet to be disclosed.
3i partner and financial services head Peter Gordon says Bestinvest offers one of the UK financial services sector’s most exciting opportunities.
“The company is one of few financial advisers with a profitable, robust and scalable business model,” he says.
“Bestinvest has a high quality and loyal client base along with an excellent brand and reputation.
“It will be strictly business as usual for both Bestinvest clients and staff. We plan to enhance rather than significantly change a winning formula.”
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