Embark Group has agreed to acquire Zurich's Investment and Retail Platform business and its Investment Management business for an undisclosed fee.
The transaction will bring around £11bn assets under administration and an advised book of close to 130,000 clients to Embark.
The firm said it would also add an extensive distribution capability with strong reach into the adviser community, which would be valuable in driving its future growth, and further increase Embark's presence in the sector. The acquisition is subject to regulatory approval.
Embark Group chief executive Phil Smith (pictured) said: "This acquisition is perfectly aligned to our growth strategy and duly establishes Embark as a significant player in the UK retirement and savings market."
Zurich head of UK Life Jim Sykes added: "This is an excellent outcome for all parties. Although our Wealth platform is a strong and successful business, we believe the needs of customers and advisers would be better served by an owner that is focused on investing in this specialist area.
"Embark is ideally placed to take the platform to the next stage in its development. In turn, this allows us to focus our resources on our protection business where we see the greatest growth opportunities. We are excited by our new retail protection partnership with Embark, which is a further signal of our intent in this market."
Embark recently bought the advised book of the Alliance Trust Savings platform from Interactive Investor for an undisclosed fee. It is set to scrap the flat-fee model for new clients, although it will come to an arrangement for existing clients to keep the flat-fee model going. It means advisers will no longer have a flat-fee option for platforms.
It came after the SIPP, SSAS and platform company raised £39m when investment giants BlackRock, Legg Mason and Merian Chrysalis bought a combined stake of nearly 40% in the business.
The recent acquisitions and the purchase of Zurich's businesses will take Embark Group to a pro-forma assets under administration of more than £33bn and 300,000 consumer clients across all its channels and brands.
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