Wealth management company AFH has acquired the assets of Cornish chartered financial planners Knight O’Byrne, AFH’s chief executive Alan Hudson has confirmed.
In a statement made to the London Stock Exchange, AFH said the acquisition would add £51m to the amount of funds under management, taking AFH’s total to more than £900m.
Completed on 3 November, the acquisition is AFH’s fourth since it was listed on the Alternative Investment Market in June this year, and its seventh over the past 12 months.
Knight O’Byrne’s directors Diane Knight and Bridget O’Byrne will join AFH as advisers.
Mr Hudson said the purchase, which followed the acquisition of Hindsight Financial Services Limited in September, has helped AFH to “create yet another national footprint”.
The maximum AFH could pay for Knight O’Byrne is £1.2m with an initial cash payment of £525,000, followed by a further payment of up to £675,000 over the next 26 months in three tranches. The full price will depend on the firm’s performance over the next two years.
Founded 24 years ago by Alan Hudson, most of the Worcesershire-based company’s advisers live in the Midlands.
It listed on Aim earlier this year, having been listed on the Icap Securities and Derivatives Exchange since June 2011, and raising £3m of equity in April 2014 and June 2014.
In its trading update to 31 October 2014, the firm had cash balances in excess of £5m. Final results for the year ended 31 October 2014 are expected for release in March 2015.