Brewin Dolphin - one of the UK's largest wealth managers with Scottish offices in Aberdeen, Dundee, Edinburgh and Glasgow - has agreed to a £1.6 billion all-cash takeover offer from Royal Bank of Canada (RBC).

RBC will pay 515p per share, a 62 per cent premium to tghe 260-year-old company's previous closing share price. Together with RBC's existing UK wealth business, the enlarged operation will have about £64bn under management, making it the third-largest manager in the UK and Ireland.

Doug Guzman, head of RBC Wealth Management, said the UK is a key growth market for the Canadian group. He added that he is "confident" the acquisition will deliver benefits to clients, employees and stakeholders.

“By combining two highly complementary businesses, we will increase the depth and breadth of our services and position the combined business as a premier integrated wealth management provider to private and institutional clients," Mr Guzman said.

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“Both management teams are excited by a shared vision of high quality client service, client-centric culture and the exceptional growth opportunities that we can deliver together. We look to continue investing in the combined business and take it to greater heights."

Robin Beer, chief executive of Brewin Dolphin, added:“Building on the strong organic growth that we have achieved to date, the combined businesses will create an attractive platform for future growth.

“As part of RBC we would be able to provide our clients with a broader range of products and services, and expand our distribution channels through leveraging RBC’s global presence."

Brewin Dolphin has a network of more than 30 offices, with £59bn of assets under management as of December 31.