Listed IFA AFH Financial Group has acquired the assets of Edinburgh-based Finlay Gow & Company Limited for a total consideration of up to £675,000, marking the its entrance into the Scottish market.
The acquisition adds £40m in funds under management, bringing the company’s total funds under management to £820m and total adviser count to 127. Chartered financial planning firm Finlay Gow reported recurring revenues of £175,000 during the financial year ended 31 March 2013.
Under the terms of AFH’s ninth acquisition since the implementation of RDR, the maximum consideration payable by AFH is £675,000, with an initial cash payment upon completion of £337,500. The remainder will be paid over 26 months in two tranches dependent on performance.
Upon completion, Finlay Gow’s directors Andrew Bandura and David Whigham, will join AFH as advisers.
Alan Hudson, chief executive of AFH, said: “The last quarter has seen a significant level of activity at the company - a period which has included two successful capital raisings, the acquisition of the assets of Norwich-based Omega Consulting and admission to Aim.
“This acquisition marks the significant and growing importance of the company’s expansion strategy, increasing the firm’s geographical presence across the UK.”
