Three years ago no one would give you more than 77p a share for Aberdeen Asset Management. With its reputation in tatters amid testy spats with regulators over split capital investment trusts, the future looked bleak for Martin Gilbert, the chief executive.

Yesterday the 53-year-old Scot, who founded the company 25 years ago, capped a comeback with a £250million deal to buy parts of Credit Suisse Asset Management. Shares were changing hands for 119p and rising. The acquisition adds more than £40billion to Aberdeen's £110billion of funds under management and means that it leapfrogs Schroders to become the largest independent asset manager in the UK. The deal adds to Aberdeen's presence in Australia, Switzerland, Germany and other parts of Europe and cements the reputation of Mr Gilbert for doing deals. Aberdeen bought Edinburgh Fund Managers, its rival, for £36million in 2003 and swooped on the embattled UK arm of Deutsche Asset Management two years later.

Mr Gilbert told The Times yesterday that his latest deal was “all about consolidation of the industry”. He said that Aberdeen, which started with assets of only £100million, would continue to pursue attractive acquisitions, including in Britain - this despite having to digest a chunk of Global Investors, effectively Credit Suisse's non-Swiss fund management businesses. He is likely to have to preside over hundreds of job cuts as part of the process.

“I really think the next year is going to be a big year for consolidation,” he said. “This is a really good deal for us. But it's going to be business as usual; there are going to be synergies.”

He declined to be drawn on any specific targets, but Aberdeen is thought to remain interested in New Star, the struggling manager being sold by UBS on behalf of a five-strong bank syndicate that took control this month. New Star, which would give Aberdeen about £12billion of additional funds, including retail investments to manage, is expected to fetch a maximum of £115million. “The only thing we won't take on is debt,” Mr Gilbert said.

The married father of three still spends time in his native Aberdeen, where he was educated. He is a keen golfer, a prerequisite in Scottish business circles, and is likely to head for the Royal Aberdeen Golf Club early in the new year. Not before he journeys briefly to Switzerland, though, where he can indulge his other sporting passion: skiing.