Phoenix has announced that it has reached agreement with Souter Investments (Souter) and Manfield Partners (Manfield) to acquire a majority stake in Mobius, the leading independent provider of investment administration services to UK pension schemes.
Phoenix will invest alongside the current management team, led by CEO Adrian Swales. The management team were advised by Nick Johnson from RG Corporate Finance and Guy Green from George Green and Co.
Equity for the transaction, which remains subject to necessary regulatory approvals, will come from Phoenix’s 2016 Fund. Terms of the transaction have not been disclosed.
RG Corporate Finance partner Nick Johnson worked closely with the management team, led by CEO Adrian Swales, providing independent advice during the transaction, which will see Phoenix invest in the business alongside the management team to support its continued growth.
Mobius Life provides investment administration services through a UK life insurance structure to UK defined and defined contribution pension schemes, which help them implement their investment strategies and meet their investment objectives.
Under Souter’s ownership during the last five years Mobius has grown assets under administration five-fold to circa £17 billion through its differentiated service offering and focused sales efforts.
Nick Johnson said: “It is really important that a management team receive independent advice to optimise their outcome from these complex transactions. Working closely with Adrian and his team we were able to ensure a great outcome and also to help facilitate the building of the relationship with Phoenix which will help achieve the growth ambitions of all stakeholders.”
Carl Swansbury, Head of RG Corporate Finance, said: “This is the latest in a number of transactions where RG Corporate Finance has provided expert advice, analysis and knowledge to management teams and we were delighted to work with Adrian and his team. Nick’s expertise has proven to be a real benefit to our service and enhanced the breadth of advice we offer our clients. It follows hot on the heels of Nick advising the management of Blatchford, the £80m revenue world leading prosthetic designer and manufacturer, on a significant investment in the business by Close Brothers PE (CBPE).”