Investec is an Anglo-South African international banking and wealth management group. It offers a range of financial products and services to a client base in Europe, Southern Africa and the Asia-Pacific region.

Investec is dual-listed on the London Stock Exchange and the Johannesburg Stock Exchange. It is a constituent of the FTSE 250 Index.

History

Investec founded a small leasing and finance company in Johannesburg, South Africa in 1974, founded by Larry Nestadt, Errol Grolman and Ian Kantor. It has expanded through growth and acquisitions. It obtained a banking license in 1980 and was first listed on the South African JSE Stock Exchange in 1986 following its merger with trust company Metboard. In 1988, Investec Bank Limited was restructured into Investec Group Limited ("IGL"), giving Investec management and employees control over the company.

In 1990, Investec acquired property management company I. Kuper & Company (Pty) Limited, Corporate Merchant Bank Limited (formerly Hill Samuel Merchant Bank Limited) and trade finance company Reichmans Limited. Investec entered the UK market in 1992 with the acquisition of London-based Allied Trust Bank Limited ("ATB"), its first international acquisition. In 1998, Investec acquired Guinness Mahon, a leading commercial bank in London, and its stockbroking arm Henderson Crosthwaite for £950,000. In the same year, it also acquired another London-based commercial bank, Hambros plc. It first listed on the London Stock Exchange in 2002. [9] In 2003, Empowerment Partners acquired a 21.5% stake in South Africa-listed Investec in a Black Economic Empowerment transaction.

Investec Loyal, moments before winning the 2011 Sydney to Hobart yacht race

In 2005, Investec sold its UK private client stockbroking business, Carr Sheppards Crosthwaite Limited, to Rensburg plc. Investec retained a 47.7% interest in the merged entity, Rensburg Sheppards plc. In 2007, Investec plc acquired Kensington Group plc [15] and Experien (Pty) Ltd.

Investec plc acquired the remaining shares in Rensburg Sheppards plc in 2010. The business has since been renamed Investec Wealth & Investment and incorporated other wealth activities previously operated through the bank.

In 2012, Investec plc completed the acquisition of the Irish brokerage firm NCB for €2.40 million. As a result, Investec now employs more than 18 specialists in Ireland.

In 2017, Investec acquired Amicus Commercial Finance and renamed it Investec Capital Solutions.

In 2018, following a strategic review, the boards of directors of Investec plc and Investec Limited announced that Investec Asset Management would become an independently listed entity. In 21/91, the Asset Management business was spun off and listed as Ninety One plc. The new name is a nod to the heritage of the brand -, the investment company was established in South Africa.

In 2023, Rathbones, a British wealth management company, agreed to acquire Investec's wealth and investment businesses in the UK and Channel Islands for £2.20 billion. The deal excludes Investec Bank (Switzerland) and Investec International wealth businesses.

Operations

Investec employs around 8,200 people worldwide and operates primarily in South Africa and the United Kingdom. It also has banking operations in Ireland, Switzerland, Mauritius, Guernsey, India, Jersey and the United States.

Product and Sector Structure

Investec consists of two areas of activity, namely: Wealth, Investment and Banking. Its Specialized Banking segment includes private banking for high net worth and high income individuals, as well as corporate and investment banking providing lending, transaction banking, treasury and trading, advisory and investment services.

Legal structure

Investec advertised on TX4 taxis in London

In 24/02, Investec became the first South African company to list on the London and Johannesburg Stock Exchanges by implementing the Dual Listed Company (DLC) structure.

The main features of the DLC structure are:

• Investec plc and Investec Limited are separate legal entities and listed companies, but are joined together through contractual agreements and mechanisms.
• Investec plc is the holding company for most of the group's non-Southern African operations, and Investec Limited is the holding company for most of the group's Southern African operations.
• Investec operates as a single unified economic enterprise.
• Shareholders have common economic and voting interests as if Investec plc and Investec Limited were one company.
• However, creditors have a fence over Investec plc or Investec Limited as there is no cross guarantee between the two companies.