Wealth manager Towry has blamed falling profits during 2015 on the cost of buying and restructuring Ashcourt Rowan, according to its latest results.
The company posted an operating profit of £4.2m - down from £8.3m in 2014 - after spending £19.5m on Ashcourt Rowan, which it bought in May 2015.
Towry, which has itself just been bought by Tilney Bestinvest, increased revenues by a third, from £91.3m during 2014, to a record £121.1m.
Meanwhile, assets under management have grown by 42 per cent to £9.1bn.
Rob Devey, chief executive of Towry, called 2015 a “transformational year” for the business, with the acquisition and integration of Ashcourt Rowan playing a key role, “as it allowed us to significantly accelerate the development of the business and build a client proposition”.
As for being bought by Tilney Bestinvest, “the combined business will be able to offer an ever wider range of services for clients on a national scale,” said Mr Devey.
He will be leaving Towry some time in the next few months once the deal has been given regulatory approval.
The sale of Towry for £600m will see its private equity backer Palamon Capital Partners net 13 times the capital it invested in the independent wealth manager.
Towry employs more than 900 staff across 21 regional offices.
