James Hay is set to acquire rival platform Nucleus via a recommended cash takeover offer, a change of tack from its original plan of using a scheme of arrangement.

Assets under administration at investment platform Nucleus rose 7.9% year on year to £17.4bn in 2020, but profits after tax dropped 47% to £3.2m, as the platform gears up for its acquisition this year by rival James Hay.

Private equity-owned platform James Hay is to buy rival Nucleus Financial for £145m in an all-cash deal announced today.

Nucleus has launched its new model portfolio service, Nucleus IMX, after it was soft launched in 2020.