JP Morgan Cazenove has emerged as financial adviser to the management of Collins Stewart, the UK moneybroker at the centre of a £1.4bn (€2bn) bid battle involving at least three of the biggest private equity firms.

A senior source close to the deal confirmed that JP Morgan had been appointed to advise Collins Stewart's management, led by chief executive and major shareholder Terry Smith, which last month confirmed it was the subject of a number of bid approaches.