Wealth manager Mattioli Woods is to acquire private client adviser and asset manager Hurley Partners in a deal worth up to £25.6m.
Subject to regulatory approval, the deal is expected to complete in the second quarter of the year with the management team of Hurley Partners being retained following the acquisition.
Founded in 2013, Hurley Partners has offices in London, Surrey and Manchester.
In the year ended April 30, 2019, Hurley Partners generated revenues of £5.68m and pre-tax profits of £750,000, according to a filing on Companies House.
The company has around £600m of client assets and has expertise in the area of member-directed pension schemes such as small self-administered schemes (Ssas) and self-invested personal pensions (Sipps).
Much like Mattioli Woods, Hurley Partners offers legacy planning and investment management services, which, Mattioli said, had made it an attractive acquisition.
Ian Mattioli, chief executive officer of Mattioli Woods, said: “This acquisition of Hurley Partners is an important step for Mattioli Woods as we continue to expand our operations and reach.
“Culturally and strategically, Hurley Partners is a great fit, serving a similar client base to our existing business.
“Hurley Partners has a proven ability to win high quality new business and will enhance our existing specialist pension and discretionary management propositions. I believe this transaction will strengthen our position in a market that is continuing to consolidate.”
Tony Hurley, chairman of Hurley Partners, said: “This is a highly positive development for everyone associated with Hurley Partners and especially our clients and employees.
“I am delighted to confirm that all of the employees of Hurley Partners will be remaining with the newly combined group and will continue to operate from our existing locations.
“The highest level of commitment of all directors and staff remains unaltered. We look forward to working together as part of a strong and progressive wealth management group.”
At the end of last year Mattioli Woods acquired a Glasgow-based financial planning firm in a deal worth up to £1.6m.
The deal with the Turris Partnership Limited added £65m in assets under advice to Mattioli Woods alongside a five-strong team.
Mattioli Woods has more than 10,000 clients and holds around £9.4bn of assets.
In its interim results for the six months ended November 30, 2019, Mattioli Woods reported profits before tax of £6m, up 7.1 per cent on the £5.6m in the first half of 2019.
This was driven by increased revenues as well as cost savings from the restructuring of the firm's client facing business.
However, it warned that profit margins were expected to be lower in the second half of the year due to rising costs in regulation and compliance as well as its recruitment expenditure and marketing.
amy.austin@ft.com
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