Liontrust to acquire River Global’s operating business – what this means for A and B shareholders
River Global PLC has agreed to sell its operating business (River Global Holdings Limited and its subsidiaries) to Liontrust Asset Management PLC. The deal was announced alongside the full year results and is treated as a post balance sheet event. The consideration is not disclosed in this report – investors are directed to the separate RNS for details, which the company says can be found at River Global regulatory news.
Crucially, the agreed sale crystallised a value for the operating business and triggered an £8.1 million goodwill impairment at year end. Remember the share split last March: A Ordinary Shares (RVRG) relate to the active equities business being sold, while B Shares (RVRB) entitle holders to River Global’s structured 30% equity interest and loans into Parmenion.
- A Ordinary shareholders – you’re exposed to the operating business that is being sold to Liontrust. This report records the impairment and lays out the FY25 trading picture and cost base going into that sale.
- B shareholders – you retain exposure to Parmenion. No change from the disposal, and River Global reiterates a £75-90 million valuation range for its interest, refreshed in March 2026.
FY25 results: revenues slip, EBITDA loss narrows
Group revenue from continuing operations fell to £12.2 million (2024: £13.8 million). Despite that, losses on an EBITDA basis narrowed to £0.6 million (2024: £3.3 million loss) as further savings came through. Statutory loss was £11.2 million, reflecting the £8.1 million goodwill impairment linked to the Liontrust disposal.
EBITDA is earnings before interest, tax, depreciation and amortisation – a cleaner view of underlying trading. On that basis the direction of travel is better, even if the headline loss still stings.
A Ordinary Shares – active equities business under pressure but leaner
- Revenue (commercial activity view): £12.2 million (2024: £14.4 million).
- Loss before tax: £13.4 million, including an £8.1 million goodwill impairment. Excluding that, the loss before tax was £5.2 million (2024: £4.9 million loss).
- EBITDA loss improved to £2.9 million (2024: £5.7 million loss, adjusted for discontinued and exceptionals).
- AUM down to £2,351 million (30 September 2024: £2,779 million) amid c.£665 million outflows across the period.
- Cost base down by nearly £5 million year on year.
Investment performance was the bright spot: for the one-year period to 30 September 2025, 69% of fund assets outperformed peers, rising to 88% over three years and 67% over five years. That strength hasn’t yet countered persistent industry-wide UK equity outflows, but it helps future sales activity.
B Shares – Parmenion continues to deliver
- Parmenion AUA/AUM rose by £2 billion to £13.1 billion in 2024, with further growth to over £16 billion by 31 December 2025.
- 2024 Parmenion financials: revenue £50.2 million (2023: £48.7 million), profit £17.5 million (2023: £15.5 million), EBITDA £20.1 million (2023: £17.9 million).
- River Global’s B share “other income” – chiefly loan note interest – was £2.7 million (2024: £2.4 million) and profit for the B share business interest was £2.1 million after allocated overheads.
- Valuation guidance for River Global’s interest in Parmenion reaffirmed at £75-90 million.
Operational moves: consolidation, Devon acquisition and new mandates
River Global completed a long-planned operating simplification: by late October 2025, all funds were merged into a single UK umbrella (and one in Ireland), with one service provider and one model. That should keep recurring costs lower and operational risk tighter.
On growth, the firm:
- Won a £140 million UK smaller companies mandate for Phoenix Group in September.
- Launched a new Irish-domiciled fund range for Blevins Franks in early October – seeded with over €200 million and already above €500 million by 31 December 2025.
- Saw the Compound Equity joint venture attract over £25 million net in the year, with JV funds passing £400 million in AUM by 30 September 2025.
- Completed the Devon Equity Management acquisition in early October 2025 and installed the team on the RGI European fund. A subsequent institutional client exit in November left Devon with £516 million AUM as at 31 December 2025 (European Opportunities Trust), which is under strategic review. River Global has tabled a rollover proposal into an OEIC it would manage.
Key numbers at a glance
| Metric | FY25 | FY24 | Notes |
|---|---|---|---|
| Group revenue (continuing) | £12.2m | £13.8m | Lower fees on reduced AUM |
| Group EBITDA | £(0.6)m | £(3.3)m | Improved underlying trading |
| Statutory loss | £(11.2)m | £(2.5)m | Includes £8.1m goodwill impairment |
| A Shares – loss before tax | £(13.4)m | £(4.9)m | £5.2m loss ex-impairment |
| A Shares – EBITDA | £(2.9)m | £(5.7)m | Adjusted basis |
| AUM (A Shares) | £2,351m | £2,779m | Industry outflows persisted |
| B Shares – other income | £2.7m | £2.4m | Loan note interest from Parmenion |
| B Shares – profit | £2.1m | £2.4m | After central overhead allocation |
| Total net assets (Group) | £42.4m | £53.1m | Down year on year |
Why it matters
The Liontrust sale draws a line under two intense years of consolidation and cost cutting at River Global. For A Ordinary shareholders, the disposal locks in a value – and the impairment booked here aligns the balance sheet with that price point. The improved EBITDA trend and the new Phoenix/Blevins Franks flows show the operating engine was getting leaner, but persistent UK equity outflows and the Devon client exit kept profitability just out of reach.
For B shareholders, the story is different. Parmenion continues to compound – assets, revenue and profit all grew in 2024, momentum continued into 2025, and River Global restates a £75-90 million value range for its interest. The B class also booked £2.1 million profit after overheads.
The good, the bad, the nuanced
- Positives: EBITDA losses narrowed materially; c.£5 million of cost savings; strong 1/3/5-year fund performance; operational simplification delivered; new institutional and partnership inflows; Parmenion firing on all cylinders.
- Negatives: Group net assets fell to £42.4 million; AUM declined to £2,351 million; statutory loss widened due to the impairment; the Devon client exit delays break-even for the equities arm.
- Nuance: The impairment is accounting, not cash – it reflects the sale value agreed with Liontrust. Strong performance stats could aid future fundraising if market sentiment towards active equities improves.
What to watch next
- Completion details of the Liontrust transaction, including any contingent elements of consideration – not disclosed in this report.
- Outcome of European Opportunities Trust’s strategic review and the proposed rollover into a new OEIC managed by River Global.
- Further cost savings from Devon integration and any stabilisation of outflows across the UK active equity market.
- The next valuation refresh of the Parmenion interest – Board expects to consult advisers again and publish with the FY26 half-year results.
My take
This set of results is a tale of two assets. The active equities business has been reshaped, slimmed down and put on a simpler platform, but it remains at the mercy of UK equity outflows – the sale to Liontrust feels pragmatic. Meanwhile, Parmenion’s numbers look robust, and the reaffirmed £75-90 million valuation range for River Global’s interest anchors the B share story.
If you hold A Ordinary shares, your focus is now squarely on the disposal mechanics and any future capital allocation post-sale. If you hold B shares, the thesis is continued compounding at Parmenion and the cadence of loan note interest and value accretion. In both cases, the improved underlying EBITDA trend is encouraging – it shows management have done the hard yards on costs. The big swing factor from here is execution on the Liontrust deal and, for B holders, Parmenion’s ability to keep winning in a tricky adviser platform market.
