RSM bullish for new year after Scottish teams advise on bumper deals in 2021

Accountancy, tax and business advisory firm RSM UK’s Scottish teams have advised on more than 30 deals in the past year, with a combined value in excess of £400 million.

The latter figure for 2021 equates to a 75 per cent uplift in value when compared to 2020 and an increase of 228 per cent when compared with pre-pandemic levels, the firm noted. Its specialist Scottish financial services team advised on a string of deals including Mattioli Woods on the purchase of Ludlow Wealth Management.

RSM has also advised on a number of Scottish deals, including the sale of Axios Systems to IFS, Circularity Capital’s investment in P2i, the acquisition of Roylance Pharma by US client Infinity BiologiX and the stock market listings of Linlithgow-headquartered Calnex Solutions and Edinburgh-based meal delivery firm Parsley Box.

Angela Toner, transactions partner at RSM UK, said: “After a bumper quarter one when the threat of capital gains tax increases accelerated deals activity, deal volumes and values remained high throughout 2021 due to the continued ambition of private equity investors and low cost of capital for corporates.

Angela Toner, transactions partner at RSM UK, says activity in the Scottish market remains strong. Picture: John Chadwick

“Activity in the Scottish market remains strong, and I am delighted that our dedicated financial services transactions team in Scotland is now well established as a key adviser to high profile consolidators in the very active wealth management sector.

“With high levels of liquidity in the market and continued low interest rates, the level of cash in the market will continue to drive strong levels of M&A [merger and acquisition] activity into the new year. However, resource constraints across the advisory sector are what is holding back the industry.

“Expert services such as data analytics, financial modelling and due diligence remain in high demand, and buyers will need to continue to factor capacity issues into deal planning throughout 2022,” she added.

Across the UK, the firm’s corporate finance practice acted on more than 240 deals over the past year, with a combined value of £4.1 billion - showcasing a record year for the practice.

The Scottish team also advised Oaktree Capital on its acquisition of Sanlam Wealth and independent wealth planners on around ten transactions.

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