London IPO candidate Utmost sees inflows slide
A wealth firm expected to IPO in London later this year has posted a fall in inflows as a boost generated by last year’s UK government tax shake up tailed off. Utmost, owned by private equity firms Oaktree Capital and Brookfield, recorded £4.4bn of inflows in the first half of the year, down from £5.3bn [...]
Utmost, a London-listed wealth firm, experienced a decline in inflows as the boost from last year's UK government tax reforms waned. The company recorded £4.4bn in inflows for the first half of the year, down from £5.3bn in the previous year. Oaktree Capital and Brookfield own Utmost, which specializes in cross-border wealth structuring and insurance for high-net-worth individuals.
The decline was attributed to a slowdown in activity following changes to the UK tax system in the 2024 Autumn Budget, which led to roughly £1.5bn of "one-off flows into UK products". Wealthier Brits were scrambling to adjust to the new capital gains tax rates and pension inclusion in inheritance tax from 2027.
However, inflows across the rest of the business increased by 16% in the first half of the year. Thompson, the company's spokesperson, stated that this momentum is already translating into increased sales across their key markets. Utmost's distribution model is well-positioned to capitalize on the highly attractive growth opportunities in both core and emerging markets.
The potential IPO, valued at £2.5bn, is set to take place in September on London's stock market. A successful IPO could provide much-needed support to the London Stock Exchange, which has been grappling with a slowdown in listings. The IPO would also come at a time when a wave of takeover deals from private buyers has shrunk the market to its lowest level ever, including the acquisitions of stalwarts like Schroders and Beazley.
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