Bermuda-Based Firm “Eyes JO Hambro”
Bermuda-based Utilico Investments has emerged as favourite to buy JO Hambro Investment Management from current owner Credit Suisse, the Financial News website is reporting tonight [Mar. 24].
According to one investor, Utilico, led by accountant Duncan Saville, is not the only potential bidder, but he said JO Hambro viewed it as the most sympathetic owner.
The Swiss bank had been seeking a buyer for JO Hambro Investment Management for most of last year. It paid £100 million for the business in 2001. But investment bankers said last year that the firm is unlikely to fetch more than £60 million.
One said this factor, plus Credit Suisse’s wish to retain a high position in the UK wealth rankings, could yet prevent a deal: “It has already taken far too long.”
Utilico and JO Hambro failed to return calls to the Financial News. Credit Suisse declined to comment.
“Confirmation of a JO Hambro deal would mark the latest consolidation move in the wealth sector, as managers seek to achieve scale to deal with rising costs and the reluctance of clients to pay for high-margin products,” said the Financial News.
Utilico, which has London listings for its funds, is managed by Bermuda-based asset management group ICM, which also has a contract to look after assets for Bermuda Commercial Bank.
