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Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

NatWest to buy Evelyn partners in £2.7bn deal, shares fall

(Sharecast News) - NatWest shares fell on Monday after the bank said it had agreed to buy UK wealth manager Evelyn Partners from funds advised by Permira and Warburg Pincus for £2.7bn including debt and launching a new £750m share buyback. The bank on Monday said the deal would increase fee income by 20% pre-revenue synergies. Evelyn Partners, formerly known as Tilney Smith & Williamson, has £69bn of assets under management compared with NatWest's £59bn.

Investors were unimpressed with the deal, marking NatWest shares down 5% despite a rising market.

London-based Evelyn had been looking for buyers after its private equity owners, Permira and Warburg Pincus, put it up for sale last summer. The group sold its professional services business to the buyout firm Apax Partners last year.

Reporting by Frank Prenesti for Sharecast.com

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Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

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