Investec sees H1 lifted by Rathbones deal, higher interest rates

(Sharecast News) - Investec on Friday said it expected to post higher earnings for the first half of the year, boosted by the now-completed merger of its UK wealth and investment business with Rathbones, higher global interest rates and growth in average lending books. Adjusted pre-tax operating for the six months to August 31 was expected to be in a range of £428.7m- £449.6m, compared with £405m a year ago.

The UK business' adjusted operating profit is expected to be at least 25% higher than the prior period's £174.4 million.

Rathbones merger with Investec W&I was completed on Thursday, creating one of the largest discretionary wealth managers in the UK, with £100bn in combined assets.

Reporting by Frank Prenesti for Sharecast.com