Smith & Williamson have confirmed that merger talks with Rathbones have been terminated and a potential stock market listing is being considered.
A statement from Rathbones said: “Following very extensive due diligence and negotiations, we have been unable to conclude a transaction that is in the best interests of Rathbones shareholders.”
Chief executive Philip Howell added: “We continue to believe that our proposition was both a compelling strategic and value creation opportunity for all Smith & Williamson’s stakeholders.”
The top 10 accountancy firm confirmed the talks were over in a statement: “Further to the recent announcement made to the stock exchange by Rathbones, we can confirm that merger discussions have ended.”
“Following our growth and business development in recent years, the board had agreed to prepare the company for a potential stock market listing. While we were pursuing this course, we were approached by Rathbones.”
“After careful consideration, we have been unable to reach agreement on terms which would be in the best interests of all our stakeholders.”
Smith & Williamson did not comment on Tilney’s rival bid.
The statement continued:“As part of our preparation for a potential listing we have developed a strategy to deliver growth across all our business lines and further enhance our position as a leading adviser to private clients and their business interests.”
“This will be achieved by continued investments in talent, infrastructure, client experience and a number of new initiatives to strategically engage with existing and new client groups, creating value for shareholders as our business grows.”
Earlier this summer Smith & Williamson announced 13 partner promotions.