Companies  

Perspective’s bid to launch on Aim looks to raise £28m

Mr Keeling said the initial public offering would look to raise gross proceeds of £28m and would help the firm in its strategy of purchasing RDR-compliant advisory firms with high pre-tax earning margins.

The firm offers whole-of-market advice to approximately 84,000 clients and about 500 corporate pension clients.

In addition to accelerating acquisitions, the chief executive said the initial public offering would also allow Perspective to reduce interest costs, raise capital, repay existing bank debt, pay corporate bond-holders and offer incentives to staff.

Article continues after advert

Mr Keeling added: “We set up Perspective in 2008, specifically to take advantage of the opportunities in the UK financial advisory market resulting from the introduction of RDR.

“An IPO is the logical next step. We believe that Perspective offers investors a unique way to capitalise on these changes to the UK financial advisory market, while the shifting demographics and the need for individuals to take responsibility for their own financial advice supports our business model and future growth.”

There are few listed advisory firms in the UK, including AFH and Lighthouse Group. Last year, Lighthouse Group encountered a shareholder revolt when former executive chairman David Hickey attempted to de-list the firm, citing “a lack of positive sentiment in the stockmarkets for IFA businesses” in the lead-up to the RDR, and a loss in year-on-year earnings.

Lighthouse Group’s results revealed a loss in earnings year-on-year, down from £967,000 at the end of June 2011 to £740,000 a year later.

Background

- Since launching in April 2008, the group has achieved yearly pre-tax earnings growth of 67 per cent since 2009.

- Perspective employs a total of 57 advisers and has an additional six self-employed advisers, in 23 offices across the UK. It has accumulated more than £2.5bn in assets under management and 31 IFA firms.

- Perspective made group pre-tax earnings for 2012 of £3.7m, up from £2.3m in 2011, and £1.1m in 2010. Revenue also grew from £17.7m in 2011, to £20.5m in 2012.