Fintech founder to leave following £145m takeover

James Hay acquired Edinburgh-based Nucleus in a deal that won strong backing from shareholders in the firm

Nucleus Financial founder David Ferguson has decided to leave the investment technology firm after the £145m takeover of the business by a private-equity backed rival.

James Hay acquired Edinburgh-based Nucleus in a deal that won strong backing from shareholders in the firm.

However, the deal was opposed by a People Representative Group of Nucleus employees amid “significant anxiety” about the impact on jobs at the firm.

Nucleus employs nearly 400, including 130 in Glasgow.

Nucleus announced yesterday that its name would be adopted by the enlarged group, rather than that of James Hay, which is based in Salisbury. But, James Hay group chief executive Richard Rowney will assume day-to-day responsibility for the leadership of the enlarged firm.

The group noted: Richard will take on the responsibilities of David Ferguson, Nucleus’ departing CEO who has decided to move on and pursue other opportunities, after a period of handover. David will be standing down from the Nucleus Board with immediate effect.

In the announcement by the group, Mr Ferguson said: With the company now becoming a key part of a much bigger picture with James Hay, it feels like the right time for me to move on and consider a new challenge.

He added: It’s 23 years since we started work on a collection of ideas that eventually led to the near £20bn platform that Nucleus is today. We aimed to create something that was truly collaborative, and it was my privilege to do this with some of the most talented people in the industry.

The group said the initial phase of the post acquisition review that is completing has highlighted the significant skills, expertise and talent in both Nucleus and James Hay, which could help the enlarged group to compete successfully at scale.

The combined management team is also working on a detailed evaluation of the existing technology arrangements and following completion later this year a further update will be provided, it added.