Lloyds Banking Group’s £390 Million Acquisition Of Embark Group

In UK Burges Salmon, Macfarlanes LLP, advised on the matter.

Burges Salmon advised Embark Group Ltd with a team including Mark Shepherd (Picture – Corporate M&A).

Macfarlanes LLP advised Chrysalis Investments Limited with a team including Luke Powell (Corporate M&A).

The transaction sees Lloyds acquire Embark Group Limited (EGL) and its subsidiary brands for a consideration of £390 million for the whole share capital of the Embark business. The sale excludes the Rowanmoor SIPP and SSAS administration business, which is being retained by existing shareholders.

The sale presents a significant opportunity for the Embark business to continue its rapid expansion, as a wholly owned subsidiary of Lloyds Banking Group. Lloyds will provide further investment and support to accelerate Embark’s proposition and service innovations for the intermediary sector. Embark will work closely with Lloyds to deliver its strategic objective of simplifying and modernising its proposition for mass market customers and enhancing its retirement proposition for independent financial advisers.

Embark has grown exponentially since its formation in 2013 as a digitally led retirement solutions business, enabled by its strategic partnership with market-leading asset servicing and technology provider FNZ and its ability to attract investment from world class institutions. The Embark Group, including Rowanmoor, has over £40.8bn of assets under administration on behalf of more than 425,000 clients. It achieved this by attracting billions of pounds of inflows and through the acquisitions of the advised and partnership books of Alliance Trust Savings, Zurich’s retail wealth platform and its five risk-rated Horizon multi-asset funds, which remain leading performers in their sectors.

Corporate Finance partner Mark Shepherd (Picture) led the Burges Salmon team.

The Macfarlanes team was led by corporate and M&A co-head Luke Powell with assistance from senior solicitor Mark Stephens.

Involved fees earner: Mark Shepherd – Burges Salmon; Luke Powell – Macfarlanes LLP; Mark Stephens – Macfarlanes LLP;

Law Firms: Burges Salmon; Macfarlanes LLP;

Clients: Chrysalis Investments Limited; Embark Group Ltd;

Author: Giulia Di Palma