Our stories
Magnacarta Group strengthens its position as a leader in the wealth management industry
This is a story about how PricewaterhouseCoopers Corporate Finance France (“PwC Corporate Finance”) supported a major transaction in the French wealth management sector.
Setting the scene
Magnacarta is a leading group of wealth management advisors in France and was part of Groupe Burrus, a family-owned federation of small and medium-sized enterprises (SMEs). It has over 20,000 clients and nearly €2 billion in assets under management. Supported by a strong local network, Magnacarta offers its affiliated wealth managers all-inclusive, tailor-made support based on independent advice and personalised follow-ups.
The sale of Magnacarta was initiated by the owner following a strategic refocus on its core business, wholesale insurance brokerage, through Groupe Diot-Saint Honoré. The new owner, April Group, is highly supportive of management’s strategy and ambitions to accelerate the development of Magnacarta through external growth and synergies with their own clients.
“It was a pleasure working with the PwC Corporate Finance team. They were constantly present through the deal process and really helped us in presenting the strength of Magnacarta and formalising our strategic vision. They also ideally pushed us to give the best for the Management Presentations, and it was very reassuring to have them at our side. We plan to continue working closely with PwC CF as they will help us in our journey of consolidation of the AWM industry."
How we helped
PwC Corporate Finance was appointed by the main shareholders of Groupe Burrus. The team was tasked to:
Evaluate and execute a full exit of the majority shareholders
A partial exit of a minority shareholder
Finding the right partner that would support Management’s Strategy
The process was highly complex and needed to be completed within a six-month period.
Our team rose to the challenge and was able to effectively execute a process that included two phases. The first phase was the identification and contacting of potential buyers. We took a dual-track approach to remain agile, opening bids to both corporates and private equity funds. We also helped Magnacarta to prepare documents for marketing, business planning and strategy as well as keeping our client abreast of the current market appetite and making sure they were always in the know regarding the status of their sale.
During the second phase of the process, our team compiled a shortlist of potential bidders. Bidders were allowed to conduct their own due diligence while we reviewed and played an active role in the negotiation of bidder agreements. The April Group, a leading wholesale broker in France with a network of 15,000 partner brokers, was selected as the most suitable buyer.
"We are very proud of this major transaction within the asset and wealth management industry. It was rather challenging given the deterioration of the political and economic environment, but we managed to maintain a strong intensity throughout the process and to reach a very happy ending. Our client is more than happy with the received valuation and Magnacarta has a clear strategic path to accelerate its growth, with the support of Group April."
Making a Difference
Our team was able to achieve a successful outcome for all stakeholders. We found a buyer that would allow Magnacarta to consolidate, speeding up their development and strengthen their core business. By applying our agile approach to a unique and complex deal, we cultivated an easy atmosphere and positive experience for all parties involved. The new acquisition is expected to spark growth for the April Group and enable Magnacarta to continue their growth journey as they focus in on their core business.
*Testimonials may not be representative of the experience of other customers. Testimonials are no guarantee of future performance or success.
This content is for general information purposes only, and should not be used as a substitute for consultation with professional advisors.
