WTW has acquired a stake in UK-based, advice-led wealth manager Atomos, backed by funds managed by Oaktree Capital Management.

The investment follows a “successful alliance” between WTW and Atomos since the end of 2022, during which time WTW’s investment engine powered Atomos’ multi-asset investment solutions.

WTW’s part ownership of the business and the provision of additional capital aimed at supporting further growth was highlighted as the next step in the firms’ partnership.

Houlihan Lokey acted as financial adviser to WTW on the transaction, while Herbert Smith Freehills LLP acted as legal adviser.

Fenchurch Advisory Partners acted as financial adviser to Atomos, and White & Case acted as legal adviser to Atomos in connection with the deal.

WTW already seeks to provide Atomos’ clients with access to a broader range of asset classes and investment choices, and its new investment aims to strengthen its relationship with a “key strategic partner” and boost its presence in the UK wealth space.

Commenting on the agreement, WTW head of investments for Europe, Mark Calnan, said the deal was an “incredibly exciting development” for WTW that reinforces its commitment to wealth markets, which the firm sees as a strategic area of focus that has driven “significant growth”.

“Our investment in Atomos is the natural next step in our successful partnership and extends our investment capabilities to a wider audience,” Calnan continued.

“Our stake in Atomos enhances our ability to shape how the industry services the needs and aspirations of savers in the UK. This is particularly important as individuals take increased responsibilities for their retirement through defined contribution schemes and personal savings.

“It also enables us to bring our experience and capabilities built over many decades in occupational pensions to Atomos’ individual clients.

“Having had the opportunity to work closely with the Atomos leadership team since the end of 2022, we have seen first-hand the alignment with us. We passionately share the belief that combining high quality financial planning with institutional-quality investment portfolios is a winning combination that delivers sustainable financial outcomes for savers.”

Oaktree managing director, Federico Alvarez-Demalde, stated that WTW’s strategic minority stake in Atomos was both a clear indication of the value of the UK wealth management sector, and “an endorsement of the company’s differentiated vertically integrated business model”.

“The deal is designed to deliver better outcomes for a broad range of clients,” he said. “It also recognises Atomos’ outstanding growth potential, both organically and through its disciplined acquisition strategy.

“The Atomos leadership team has ambitious plans for the business and a clear strategy for realising those plans.”

Atomos CEO, Jonathan Polin, added: “We are delighted to be extending our relationship further with WTW after a highly successful period since the end of 2022 in which, together, we have transformed the investment proposition we offer our clients.

“WTW’s investment in Atomos, having seen first-hand the strength of our client relationships and quality of our people, is further recognition of the health and growth potential of this business.

“As we look for more ways in which we can enhance the Atomos client experience, our closer alignment to such an established, well- resourced business will play a key part.”

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