Harwood Wealth Management’s senior team has agreed to sell 1.33m shares in order to fund the company’s acquisition strategy.
Last month the Aim-listed financial planning firm announced plans to raise £10m by issuing new shares at £1.50 each.
At the time it said that if there was sufficient demand, Neil Dunkley, the company’s joint chief executive would sell some of his own shares along with those of his wife Sian and Mark Howard, the company’s chief commercial officer, raising another £2m.
The trio have now agreed to make this sale, suggesting demand for shares in the company has been strong.
Following the sale they have agreed not to sell any of their remaining shares for the next year.
Harwood completed 17 acquisitions in 2016 for a total consideration of £11.6m.
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.
Last month Harwood said it had signed initial agreements for a further six acquisitions, at an aggregate estimated consideration of around £3.1m which would add an estimated £156m of assets under administration.
In addition the current acquisition pipeline, where proposals or draft initial agreements have been issued to vendors, includes another nine acquisitions, which would add an additional £960m of AUA for an aggregate consideration of £14.95m.
damian.fantato@ft.com
