Sovereign backs Wealth Management business Skerritts, supporting the firm’s ambition to expand its geographic reach
Sovereign Capital Partners, the UK private equity Buy & Build specialist, is pleased to announce that it has backed Skerritts, a successful Independent Financial Advisory (IFA) and Wealth Management business, in a deal worth £55 million.
Sovereign is partnering the management team led by founder Richard Skerritt, to develop the business through a strategy of organic and acquisitive growth.
Founded in 1990, Skerritts provides financial planning and investment management services, and currently looks after c.4k private clients as well as corporates. Headquartered in Hove, South Coast of England, and with an office in the City of London, the business has a team of c.40 staff.
Skerritts manages c.£1bn of clients’ funds. Their discretionary service is delivered through the company’s in-house investment management solutions; these include a range of Model Portfolio Strategies and Open-Ended Investment Funds. In addition, Skerritts will be delivering a white label platform solution through platform technology company Hubwise, further developing its vertical integration opportunities.
Sovereign is backing the management team, headed by CEO and founder Richard Skerritt, who has made eight small acquisitions for the business historically. In addition, Andrew Fisher has been appointed Non-Executive Chair; Andrew has an excellent track-record in wealth management, having been CEO of Coutts & Co and CEO of Towry Group. Charles Sparrow joins as Group CFO. Charles has significant experience in the sector having worked for nearly twenty years at Seven Investment Management, which he co-founded.
Alex Hay, Partner, Sovereign said: “Skerritts is a multi-award-winning business which has deservedly earned a first-class reputation in the industry. Richard and his team have consistently grown the company and made a number of acquisitions to further consolidate the firm’s position in the South East. With the development of a leading in-house investment management solution alongside, we consider the business to be strongly positioned for future growth. The market is highly fragmented, and we look forward to partnering Richard and the expanded team to develop Skerritts’ offering and geographic footprint through strategic acquisition.”
Richard Skerritt, founder and CEO of Skerritts said: “Sovereign’s investment and expertise in financial services, gives us a fantastic opportunity to accelerate our growth ambitions and enhance our capabilities. I am very proud of the business which I established thirty years ago from a home office. As a team, we are dedicated to providing the highest level of care to all our clients. We look forward to further enhancing our capabilities and continuing to deliver the same level of service and care we are recognised for by our customers.”
The £55m deal value includes follow-on funding to help the company’s strategic acquisitions.