NatWest Acquires Evelyn Partners in £2.7 Billion Deal

Written by Emily J. Thompson, Senior Investment Analyst

Source: CNBC

Updated: 6 days ago

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HSBC-1.89%

Should l Buy HSBC?

Source: CNBC

Acquisition Overview: NatWest announced a £2.7 billion ($3.7 billion) acquisition of Evelyn Partners, one of the UK's largest wealth managers, which will double its total assets under management from £59 billion to £127 billion, significantly enhancing its wealth management capabilities.
Market Reaction: Despite expectations that the deal will boost asset scale, NatWest's shares fell nearly 5% in early trading, reflecting market caution, with the stock up only 1.2% year-to-date after a 62% gain in 2025.
Strategic Implications: This acquisition aims to strengthen NatWest's wealth management services to counter declining interest income from falling central bank rates, aligning with the robust growth trend in Europe's banking sector in 2025.
Regulatory Approval and Funding: The deal is expected to close by summer, pending regulatory approvals, and will be funded from NatWest's existing resources, which is projected to reduce its core capital by 1.3%.

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About HSBC

HSBC Holdings plc (HSBC) is a banking and financial services company. Its business segments include Hong Kong, UK, Corporate and Institutional Banking (CIB), and International Wealth and Premier Banking (IWPB). Its Hong Kong business comprises retail banking and wealth and commercial banking of HSBC Hong Kong and Hang Seng Bank. Its UK business comprises UK retail banking and wealth (including first direct and M&S Bank) and UK commercial banking, including HSBC Innovation Bank. The CIB segment is formed from the integration of its commercial banking business (outside the UK and Hong Kong) with its global banking and markets business. The IWPB segment comprises premier banking outside of Hong Kong and the UK, its global private bank, and its asset management, insurance and investment distribution businesses. Its customers worldwide through a network covering 58 countries and territories. Its customers range from individual savers and investors to companies, governments and others.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

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