NatWest Group has announced its acquisition of Evelyn Partners, a prominent wealth management firm, for £2.7 billion. This significant transaction signals a strategic move by NatWest to expand its presence in the lucrative wealth management sector. The deal is expected to more than double NatWest's assets under management and places it as a leading contender in the UK's private banking and wealth management landscape. While the bank aims to strengthen its financial position, its share price saw a decline following the announcement, indicating investor scrutiny.
Context of the Acquisition
NatWest's purchase of Evelyn Partners represents a key element of its strategy to grow businesses that generate fee-based income. This focus is particularly relevant as the banking industry anticipates a potential decrease in interest income due to falling central bank rates.
Strategic Rationale: The acquisition aims to enhance NatWest's wealth management services. This is a deliberate effort to counter the anticipated drop in revenue from traditional lending activities, driven by monetary policy shifts.
Deal Value: The transaction is valued at £2.7 billion (approximately $3.7 billion).
Evelyn Partners' Profile: Evelyn Partners is described as one of the UK's largest wealth managers, offering integrated services that include financial planning, investment management, and a direct-to-consumer platform named BestInvest. The firm has a history spanning 180 years.
Integration: Upon completion, Evelyn Partners' £69 billion in assets under management will be combined with NatWest's existing £59 billion, bringing the total to £127 billion. This move is poised to create the UK's largest private banking and wealth management entity, incorporating NatWest's private bank, Coutts.
Previous Ownership: Evelyn Partners was owned by private equity firms Permira and Warburg Pincus, who had placed it on the market in the summer.
Competition: NatWest reportedly outbid several rival financial institutions, including Barclays and Royal Bank of Canada, to secure the acquisition. Sky News was among the first to report on the deal.
Employee Impact: The acquisition will bring approximately 2,400 Evelyn Partners employees into the NatWest Group.
Shareholder Action: Alongside the acquisition, NatWest announced a £750 million share buyback, suggesting a move to return capital to shareholders.
Market Reaction and Financial Implications
The market's response to the acquisition has been mixed, with NatWest's share price experiencing a notable drop following the announcement.
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Share Price Decline: NatWest's shares fell by nearly 5% in early trading on Monday, February 9, 2026.
Capital Position: NatWest Group has stated that the transaction will strengthen its capital generation capabilities, asserting that it will remain well-capitalised following the acquisition.
Future Reporting: NatWest is scheduled to release its fourth-quarter results and provide a strategic update on Friday, which is expected to offer further insights into the financial ramifications of the deal.
Strategic Positioning and Competitive Landscape
The acquisition of Evelyn Partners positions NatWest to compete more effectively in the expanding wealth management market. This is happening at a time of broader shifts within the sector.
Market Leadership: By combining Evelyn Partners with its existing Coutts franchise, NatWest aims to establish the UK's preeminent private banking and wealth management business. This combined entity is expected to serve around 150,000 affluent UK families.
Sectoral Trends: The deal occurs within a context of significant activity in the wealth management sector, as other major lenders also increase their focus on this area.
Previous Divestments: The acquisition follows NatWest's earlier sale of its professional services business to the buyout firm Apax Partners last year, indicating a portfolio rebalancing.
Financial Advisers and Transactional Support
A number of financial institutions provided advisory services for the transaction.
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NatWest's Advisers: Ardea Partners International LLP and BofA Securities acted as joint lead financial advisers to NatWest. UBS also served as a financial adviser to NatWest.
Sources
NatWest Group: NatWest Group announces the acquisition of Evelyn Partners and a £750m share buyback. Published 12 hours ago. https://www.natwestgroup.com/news-and-insights/news-room/press-releases/our-updates/2026/feb/natwest-group-announces-the-acquisition-of-evelyn-partners-and-a.html
This is an official announcement from NatWest Group, providing direct information on the acquisition and its strategic intent.
The Guardian: NatWest to buy wealth manager Evelyn Partners for £2.7bn. Published 4 hours ago. https://www.theguardian.com/business/2026/feb/09/natwest-buy-wealth-manager-evelyn-partners-barclays
This article provides a journalistic account of the deal, including competitive bidding and the background of Evelyn Partners.
CNBC: NatWest shares fall after $3.7 billion deal to buy one of UK's largest wealth managers. Published 3 hours ago. https://www.cnbc.com/2026/02/09/natwest-stock-evelyn-partners-acquisition-wealth-manager.html
This source focuses on the financial market reaction, detailing the share price drop and the potential impact on NatWest's business.
BMMagazine: NatWest seals £2.7bn Evelyn Partners takeover in biggest deal since bailout. Published 12 hours ago. https://bmmagazine.co.uk/news/natwest-evelyn-partners-2-7bn-deal-wealth-management/
This article highlights the scale of the deal within NatWest's history and its competitive positioning against rivals.
UK Investor Magazine: NatWest acquires Evelyn Partners for £2.7bn and announces £750m buyback. Published 12 hours ago. https://ukinvestormagazine.co.uk/natwest-acquires-evelyn-partners-for-2-7bn-and-announces-750m-buyback/
This report details the assets under management figures and the integrated wealth management model of Evelyn Partners.
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