Resolution founder sells-up to fund new venture

by Gill Montia

Story link: Resolution founder sells-up to fund new venture

The chairman of Resolution, the closed life fund consolidator being acquired by Pearl Group, is selling his 3% stake in the business.

Clive Cowdery founded Resolution in 2003 with a loan of £500,000; he went on to transform the business into a FTSE 100 company, via a series of acquisitions and mergers.

This autumn Resolution was at the centre of a £5 billion bidding battle between Pearl (Resolution’s largest shareholder), Friends Provident and Standard Life.

Pearl, which held a blocking stake of almost 25%, emerged as the victor with a successful all-cash bid.

Mr Cowdrey will be cutting all ties with Resolution prior to the completion of Pearl’s takeover, and plans to raise £145 million to back a new financial services venture.

However, around £20 million of the proceeds from the sale of his shares will be used to establish a new charity, the Resolution Trust.

The trust will provide funding for the Resolution Foundation, which undertakes research aimed at improving financial literacy among poor communities.

It also provides independent research on how people on low to moderate incomes fare in a mixed welfare economy.

Mr Cowdrey’s plans for the remainder of the money remain secret, although he has described his new project as at the “highly developed” stage.