Smith & Williamson (S&W), the non-public equity-backed skilled providers agency, has tabled an strategy that will outcome within the break-up of the London-listed funding financial institution Cavendish.
Sky Information has learnt that S&W, which itself was a part of Evelyn Companions till earlier this yr, made a proposal in current weeks to amass Cavendish’s mergers and acquisitions arm.
The worth of the provide, which is claimed to have been rejected, was unclear on Tuesday morning.
It was additionally unclear whether or not information of the strategy from S&W would possibly flush out curiosity from different events in a possible cope with Cavendish.
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Cavendish was shaped from the merger of Finncap and Cenkos Securities in 2023 amid strain on the Metropolis’s crowded mid-market funding banking sector.
A dearth of latest firm flotations has squeezed the income bases of companies working within the house, spurring a string of mergers, such because the one which resulted within the creation of Panmure Liberum final yr.
In 2018, Finncap, the stockbroker, purchased Cavendish, a specialist in advising non-public firms on sale processes, for £14m.
The contemporary curiosity in buying the offers division underlines the extra buoyant nature of that facet of the funding banking enterprise.
Apax Companions, the non-public fairness agency, purchased a controlling stake in Evelyn Companions’ skilled providers arm for a reported £700m.
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It then rebranded the enterprise as Smith & Williamson, thereby reviving one of many Metropolis’s most outstanding names within the sector.
A spokesperson for Apax declined to remark, whereas Cavendish has been contacted for remark.
