Caledonia prepares £400m auction of investment manager 7IM

Jun 16, 2022

The boutique City fund manager 7IM is to be put up for sale later this year, months after its owner rejected an unsolicited £300m takeover approach.

Sky News has learnt that London-listed Caledonia Investments, which has owned 7IM since 2015, is planning to kick off an auction of the business in the autumn.

City sources said it was expected to seek a valuation of about £400m for the company.

Evercore Partners, the investment bank, has been retained to oversee the sale process, they added, although it could be delayed if market conditions remain unattractive.

In February, Sky News revealed that Brooks Macdonald, the London-listed asset manager, had approached 7IM’s controlling shareholder, Caledonia Investments, late last year about a deal.

Brooks Macdonald is likely to remain keen to acquire 7IM and play a role in the forthcoming auction.

Other fund managers, as well as private equity investors, are among the other parties which will explore a deal.

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7IM was acquired by Caledonia seven years ago in a deal worth about £100m.

Since then, 7IM has bought two other firms – Tcam Asset Management and Partners Wealth Management.

Caledonia declined to comment.

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