Tilney challenges Rathbones with rival bid for Smith & Williamson

All-cash offer

The possible £2bn all-share merger of Smith & Williamson and Rathbone Brothers could be derailed, with wealth manager Tilney launching a rival bid for S&W.

Tilney has tabled an all-cash offer for the firm, according to Sky News, but S&W's management team, led by David Cobb and Kevin Stopps, is reportedly keen to continue to pursue a deal with Rathbones rather than the competing offer from the £23bn AUM wealth manager. A formal announcement about the terms of Rathbones' deal with S&W is expected next week, amid a wave of M&A activity in the industry. Majority-owned by private equity firm Permira, Tilney pursued growth last year via the acquisition of Towry for roughly £600m. S&W, which has roughly £19bn in AUM, was effectively put up f...