The shock £9.9billion sale of Schroders could be the ‘tip of the iceberg’ for UK firms being taken over by US predators.
Accountancy firm Azets said a surge in cross-border deal activity suggested there would be more such acquisitions to come – partly due to owners cashing in amid Labour’s tax rises.
Schroders, the 222-year-old FTSE 100 investment giant, stunned the City on Thursday when it said it had agreed to be acquired by US investment manager Nuveen.
The deal was greeted with dismay as it will add to the growing roster of UK-listed firms sold to foreign owners.
Shock: Schroders stunned the City when it said it had agreed to be acquired by US investment manager Nuveen
Azets said the trend looked set to continue, with the proportion of dealmaking activity handled by its advisers last year that involved a foreign buyer up 30 per cent.
In two-thirds of these cases, the deal involved an American buyer.
‘This is just the tip of the proverbial iceberg for US acquisitions of UK businesses,’ Azets said.
Lee Humble at Azets said Britain was attractive to overseas buyers given its ‘mature industries, a deep culture of innovation and globally competitive sectors’.
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