Close Brothers has announced the sale of its Cayman Islands trust, fiduciary services, fund administration and banking business to Intertrust Group Holding SA.
The transaction values the business at US$34 million, a figure that may be adjusted based on the net asset position of the business at the time of completion.
The sale is expected to be finalised by the end of the current financial year.
Preben Prebensen, chief executive of Close Brothers, said the sale of the Cayman business will further support the transformation of the firm’s asset management division, “where we are committed to developing and growing our UK -based wealth and asset management business.”
Close Brothers is currently undertaking a £20 million (US $32.6 million) investment programme on the asset management side of its business.
The firm recently sold its UK offshore fund administration business in Jersey, Guernsey and the Isle of Man to Kleinwort Benson Channel Islands Holdings in a deal worth £29.1m.
Commenting on the sale of Close Brothers Cayman, Linburgh Martin, the managing director of the firm, said: “We are extremely pleased with Intertrust as our new shareholder. Intertrust has an entrepreneurial approach which mirrors the culture within Close Brothers Cayman.
“The international cooperation of the Intertrust group will assist us in capturing new opportunities for our clients and employees,” he added. “The change of shareholder is an important step for our business going forward. These changes will support Close Brothers Cayman to further strengthen its strong position in the financial services sector and to capture new opportunities.”
David de Buck, CEO of Intertrust, added: “The Cayman Islands continue to be a leading jurisdiction for the global fund industry. Close Brothers Cayman has achieved an excellent position in this market with a long-standing track record of delivering consistent, high quality and reliable services for over 40 years.
“We intend to support Close Brothers Cayman in strengthening this position, and through this acquisition, we extend our global footprint in an important global financial centre, offering new opportunities for our clients and employees. We look forward to working together with Close Brothers Cayman employees and welcome them to our global family,” Mr. de Buck said.