Wealth consolidator AFH Financial Group has acquired Wirral-based Broadleaf Financial Services for a maximum consideration of £3.2m.
The deal includes an initial payment of £1.7m, which was paid from the company’s cash reserves. The remaining sum will be paid in cash over a 26-month period.
The deal amount is subject to Broadleaf performance criteria during the through the two year earn out period.
Four advisers and support staff will migrate to AFH as part of the transaction. Broadleaf director John Shaw and other directors will retire from the business after the acquisition.
Broadleaf acquisition will add £140m to AFH Financial Group’s funds under management (FuM).
The deal follow AFH Financial’s acquisitions of Mulberry Independent Financial Advisers and AE Garment in September this year.
Commenting on the acquisition, AFH CEO Alan Hudson said: ” The acquisition has been completed on a similar attractive multiple to previous transactions and extends the AFH footprint in the North West of the UK.
“The Company remains well capitalised to take advantage of the previously identified acquisition opportunities and to continue its record of delivering profitable growth and enhanced shareholder value.”
Earlier this year, AFH acquired West Midlands-based Hayburn Rock Group and its subsidiary companies.
Last December, AFH made the largest-ever acquisition in its history by buying Hull-based advisory firm CTL Three and its subsidiaries in a deal worth up to £10m.