Tavistock agrees £18m deal for Bath asset manager

Asset manager Alpha Beta Partners has been bought by financial services group Tavistock in a deal that could be worth up to £18m.

Bath-headquartered Alpha Beta was set up in 2017 and now has nearly £3bn of assets under management. Its focus is on retail investors served by regulated advice businesses.

There will be an initial cash payment of £6.0m, with a further £12m payable over the next five years dependent on the business’s performance.

Alpha Beta’s managing director Geoff Brooks said the two organisations’ “strategic vision and ambitions are aligned”.

He added: “We are delighted to be joining Tavistock to embark on the next phase of our growth and development, allowing us to continue to both support our existing clients and create new opportunities.”

Tavistock sold off its networks of self-employed Registered Individuals to Saltus last month as part of its strategy to optimise the balance between regulatory risk and potential commercial reward.

The acquisition of Alpha Beta is seen as a key step in Tavistock’s refocusing into “a much more significant asset manager”, providing investment solutions to third party advice firms and networks, as well as to retail clients directly.

Brian Raven, Tavistock’s chief executive, said “Alpha Beta Partners is joining us at the ideal time. Their strategic plans and partnerships gel perfectly with ours, particularly in terms of how to improve investor services and value.”

The deal is subject to FCA approval.