Overdressed, over here and over-paying?
An American private equity firm is reportedly considering a bid for a minority stake in Together Financial Services.
New York-based Centerbridge Partners, a firm that recently considered a takeover of Sainsbury’s Bank, is reportedly among the companies eyeing a minority stake in the mortgage lender, according to a report by The Times.
Together has hired investment bankers from Rothschild to find an investor in a deal that could value the firm at between £1.5 billion and £2 billion. Cinven is among the other companies reportedly interested in the possible stake sale, The Times reported.
A deal would mean a handsome payout for Together founder Henry Mover, who is worth an estimated £1.1 billion, according to The Sunday Times Rich List. Moser launched Together in 1974, and the company has since grown to become a leading specialist lender. Together offers residential, buy-to-let and commercial mortgages, along with bridging and secured loans. The company’s loan book was £4.4 billion as of the end of December, The Times reported.
Moser is Together’s chief executive, but is in the process of handing control over to Gerald Grimes, who was appointed to succeed him last year. Moser will stay on the board as executive director after stepping down as Together’s chief.
Centerbridge has a long history of interest in British financial services. It mulled buying Sainsbury’s banking business last year before the supermarket chain dropped plans for a sale in October. Centerbridge was also previously an investor in Aldermore, a Reading-based bank, and was part of a group that attempted to buy the Williams & Glyn division of Royal Bank of Scotland Group, now called NatWest, according to The Times.
Together’s pre-tax profits rose to £150.3 million in the 12 months to the end of June 2021, from £94.6 million a year prior, The Times reported.
