Consolidator Fairstone has acquired Leicester-based Brett & Randall Financial Services and Stockton-on-Tees-based Chilli Financial through its downstream buy out (DBO) programme.
Brett & Randall offers advice to pension schemes and HNWIs. Chilli Financial advises corporate clients, and also provides retirement, investment and estate planning services for private clients.
The acquisitions of the two financial planning firms will add £250m in assets to Fairstone’s books.
A total of 13 advisers as well as support staff will join Fairstone as part of the transactions.
Fairstone CEO Lee Hartley said: “We have seen enormous growth through our DBO programme in the past year, from IFA companies who recognise the strength of our proposition. Where we identify real quality in a business, we will work with those companies to achieve their growth targets, lift the regulatory burden and support them with marketing and client activation initiatives.
“This approach has led to an average organic growth rate of 15% within our existing partner firms and we look forward to bringing some of these companies to the full-acquisition stage in the coming year.”
The two firms are the first to be acquired by Fairstone through its DBO model this year. The consolidator plans a total of nine such deals this year.