The Financial Conduct Authority launched a probe into the historical sale of loans by UK motor finance companies earlier this year following a surge of complaints from consumers.

Close Brothers' shares are down by around a third since the Financial Conduct Authority announced in January that it would review whether customers were overcharged via now-banned discretionary commission arrangements on car loans.

Close Brothers Group Plc has agreed to sell its wealth unit to Oaktree Capital Management for an equity value of as much as £200 million ($265 million) as it looks to strengthen its balance sheet amid a regulatory review of its motor finance practices.

Close Brothers will sell its asset management arm to Oaktree in a deal worth up to £200mn. The sale of Close Brothers Asset Management is expected to strengthen the group's capital base. It intends to keep all upfront cash proceeds from the sale, worth around £172mn.

The bank said it had sold Close Brothers Asset Management to Oaktree Capital Management in a deal which could rise to £200m

Close Brothers Group has agreed to sell its wealth management unit, Close Brothers Asset Management (CBAM), to private equity firm Oaktree Capital Management for up to 200 million pounds ($265 million).

Close Brothers has announced the sale of its asset management business (CBAM) to Oaktree. The deal is anticipated to close in the first quarter of 2025, pending regulatory approval. Oaktree is a seasoned investor in wealth management companies in the UK.

The sale of Close Brothers Asset Management (CBAM) to funds managed by Oaktree Capital Management is expected to be completed in early 2025 following regulatory approvals.