Your IndustryApr 4 2017

Deal-hungry Harwood to continue fast pace of acquisitions

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Deal-hungry Harwood to continue fast pace of acquisitions

Harwood Wealth Management will look to continue its fast pace of acquisitions for as long as possible, its chairman has said.

The Aim-listed company completed 17 acquisitions in 2016 for a total consideration of £11.6m.

It is now seeking to raise a further £10m by issuing new shares to spend on acquisitions.

Peter Mann, the company’s chairman, said: “When you find, as we have done, a market niche which is attractive then you do keep on going and you do carry on.

“We have no plans at this point in time to raise further money at this point next year or the year after.

“However it is highly likely we will do if the process continues to be successful.”

Mr Mann said Harwood had been able to complete so many deals in a year because its acquisitions team functions like a “well-oiled machine”.

He said: “I could understand if we did 17 acquisitions with markedly different terms and conditions and prices, but we don’t.

“Obviously each deal is marginally different but the core of the deals is the same. We are very clear on what we will buy and what we won’t buy.

“It is often the case that we are being approached rather than approaching.”

Since Harwood floated last year, its assets under influence increased 75 per cent in that time from £1.21bn to £2.06bn, with assets under management growing from £276m to £693m.

When Harwood started trading on the Aim market in March 2016, it was valued at £45m.

As of this today it has a market cap of £111m and its shares are valued at £2.08, an increase of 126 per cent over the course of the year.

damian.fantato@ft.com