The Socium Group has withdrawn its offer to buy financial advice firm Beaufort Group after the parties were unable to agree terms.
Beaufort Group had signed heads of terms with Mary-Anne McIntyre's private equity-backed advice group but they could not agree on the details.
Derrick Dunne, chief executive officer of Beaufort Group, said: “While we weren’t able to agree terms, the process we have been through has been an extremely useful one that has resulted in significant benefits for the Beaufort Group in terms of its future direction and growth.
“The financial year ending March 2021 was the best yet for both Beaufort Financial and Beaufort Investment.
“We have upmost respect for what Socium is looking to achieve and wish them well in the future.”
Mary-Anne McIntyre, ex-Openwork CEO now chief executive officer of The Socium Group, said: “Simon, Derrick and the team have built a fantastic business which I have every confidence will continue to go from strength to strength.
“While it is disappointing we won’t be working together we wish them all the best with their plans for the future.”
Beaufort Group was established in 2012 and provides financial planning and investment services through its subsidiaries, Beaufort Financial and Beaufort Investment.
In September Socium announced it was looking to partner with advice firms’ management teams by taking a majority stake in their business, with plans to build a 300 adviser-strong business over the next five years.
Socium is backed by private equity firm Penta Capital, which provided an acquisitions war chest of £160m to acquire IFA businesses across the UK.
Penta Capital said it had invested in McIntyre's firm to carry out a “buy and build” in the UK independent financial advice market which was the “least consolidated” of all financial services.
Its website says Penta’s aim, through Socium, was to create a “best in class advice business, providing superior service and value for money for the customer, with significant central support allowing the acquired businesses to focus on customer needs”.
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