A company founded in March this year by a former partner at private equity firm Palamon Capital has launched an audacious £47 million bid for Thesis Asset Management.
Regit Bidco, which appears to have been founded as a special holding company in March of this year by Daniel Mytnik, a former partner at Palamon Capital Partners , among three other principals, has offered £52.05 per share for Thesis. The wealth management firm runs £2.27 billion on behalf of its private clients, with a total of £12 billion under influence, including its sister corporate funds structuring business Tutman.
It was not immediately clear from the bid documents or Regit Bidco corporate filings how the deal was funded and whether the offer consisted of debt or equity capital.
The company said that it had received acceptance of its terms from just over 29% of Thesis shareholders.
Mytnk said: ‘We have followed the development of Thesis for a long time and appreciate all that it has achieved to date. We see great potential in the business and believe that it will benefit greatly from the support of the strong funding partners that the acquisition will bring to Thesis.’
Chair of Thesis Tony Edwards said the purchase would provide the capital needed to invest in the business’ systems and regulatory controls needed to thrive in the 21st century.
‘Since the establishment of Thesis under the law firm Thomas Eggar & Sons in 1974, the business has grown significantly and I am proud of what the business has achieved during this period,’ said Edwards.
‘Notwithstanding this, the business faces a number of challenges which will require investment in the platform and operations, coupled with developments in the broader competitive landscape that are also acting as headwinds.
‘Under new ownership, we believe that Thesis will be better placed to invest and thereby enhance its proposition for its clients, both in its private wealth and its authorised corporate director businesses.’