Söderberg & Partners has raised an additional €200mn (£171.4mn) in capital as it further expands its operations across the UK and Spain.
The Scandinavian non-bank financial adviser and investment manager announced today (June 26) that it has agreed to close a new share issue.
The capital injection - which comes from its minority owner KKR, an existing minority investor since 2019 - will be used to facilitate and support ongoing expansion, particularly across its newest markets; the UK and Spain.
Following the new share issue, Söderberg & Partners will continue to be controlled by its founders and supported by its two significant minority shareholders, global investment firm KKR and private equity firm TA Associates.
Back in February, Söderberg & Partners announced its intention to establish an independent financial advice and investment management business in the UK.
Today’s announcement revealed that the firm has opened a new UK office and plans a recruitment drive in the UK.
Söderberg & Partners UK business chief executive Nick Raine said it represents the firm’s significant commitment to future growth in the UK.
“Since our launch earlier this year, we have received a phenomenal response from adviser firms who are keen to find out more about what our proposition can offer. With technology in our market advancing rapidly, we are excited to be operating in such a dynamic space,” Raine said.
He added: “We anticipate our UK partner firms will benefit from our unique blend of extensive UK platform expertise, coupled with Swedish culture and systems, as we continue to grow.”
Söderberg & Partners co-founder and group chief executive Gustaf Rentzhog said he is confident that the group’s partnership model will bring a competitive offer to the UK market.
“As our journey continues, we anticipate becoming one of the leading players in and become one of the leading players in this market within the coming years,” he said.
Meanwhile, Hans Arstad, managing director of KKR’s European private equity activities across the Nordic region, said Söderberg & Partners has "more than doubled in size" since its initial investment in 2019.
"We are pleased to make a significant new investment behind this exceptional team and platform," he said.
“We believe there is enormous potential for Söderberg & Partners to accelerate its growth in UK, Spain and the rest of Europe by continuing to invest in building its differentiated suite of technology-enabled services and pursuing strategic M&A with leading players in key growth markets.
Söderberg & Partners manages over £60bn of clients’ investments and employs 3,000 people in seven countries.
The firm aims to partner with 500 to 1,000 advisers within the next five years and will offer financial advice and investment solutions through its partnerships in the UK.
The business will conduct its UK operations under the sub brand Söderberg & Partners Wealth Management.
Speaking to FTAdviser in February, Bill Vasilieff, who will take on the role as chairperson of the board for the UK company, said the firm was in advanced discussions with about 20 IFA firms.
He said firms that join the group would not be part of the wider group, but instead Söderberg will hold minority stakes in the businesses - a model it already operates elsewhere.
“It's not like a consolidator, we're actually taking stakes in businesses and backing the management and helping them finance their growth opportunities.
“Typically, the firms would be £100mn plus but key to that we're looking at firms that really are ambitious, and want to grow,” he said at the time
jane.matthews@ft.com
