Tavistock has acquired an unregulated research firm from LEBC for £3mn.
LEBC Hummingbird provides research on asset allocations within funds and model portfolios.
The firm began trading in 2020 as a provider of financial research for the LEBC group.
Its accounts for the year to September 30 2021 show a pre-tax profit of £430,000 and gross assets of £130,000.
Managing director of LEBC, Derek Miles, said: "Hummingbird's revenues and earnings before interest, tax, depreciation and amortisation have grown rapidly, and we are excited about our future prospects.”
Chief executive of Tavistock, Brian Raven, said: "We are pleased to welcome Hummingbird into the Tavistock Investments group and look forward to working with Derek and his team as we extend our commercial partnership."
Half the purchase price will be paid on completion and the remaining £1.5mn paid on November 30 this year.
The announcement follows Tavistock’s purchase of 21 per cent of Hummingbird’s parent company, LEBC, earlier this year, as reported by FTAdviser at the time.
This meant Tavistock became a 'controller' of each of LEBC’s regulated subsidiaries.
LEBC is an independent financial advisory group that has three wholly owned subsidiaries: LEBC Group Limited; Aspira Corporate Solutions Limited; and Hummingbird.
The first two are regulated by the Financial Conduct Authority.
sally.hickey@ft.com
