Tilney
| Location: | Deal size: |
|---|---|
| UK | N/D |
Tilney is one of the UK’s largest providers of wealth management services to high net worth individuals. When Bridgepoint acquired the business in May 2005, it had €7.4 billion of assets under management and a network of regional offices throughout the UK.
Following a formal sale of the business arising from the wish of its principal institutional shareholder to realise its investment, Bridgepoint acquired Tilney with its management in a transaction whose value was undisclosed. The main attractions of the business were its highly regarded management team, a sustainable and growing business model with high levels of recurring revenues, and a wealth management market growing at 6% per annum. Moreover, Tilney represented a scalable platform from which to acquire smaller UK managers in a fragmented market where Bridgepoint had already identified a number of buy-and- build targets.
Working with Bridgepoint, the Tilney management team grew funds under management organically, boosted by its highly successful commercial property product. This was further supported by a targeted buy-and-build programme as part of a product diversification strategy, and was supported additionally by rising equity and property markets. These all combined to deliver strong revenue and profit growth. Operational improvement initiatives were also undertaken around its financial information systems and integrated reporting to clients.
In October 2006, Tilney was acquired by Deutsche Bank’s private wealth management division for an undisclosed sum. They had in turn identified Tilney as an important complementary acquisition for their business in the UK market. Under Bridgepoint ownership, Tilney’s funds under management grew by 30% and its profitability had doubled. Bridgepoint and its investors achieved a significant money multiple on its investment.