Harwood Wealth Management Group PLC Acquisition of AE Financial Ltd (0624I)
March 19 2018 - 2:00AM
UK Regulatory
TIDMHW.
RNS Number : 0624I
Harwood Wealth Management Group PLC
19 March 2018
19 March 2018
This announcement contains inside information which is disclosed
in accordance with the Market Abuse Regulation.
Harwood Wealth Management Group
("Harwood Wealth", "Harwood" or the "Group")
Acquisition of AE Financial Ltd
Harwood Wealth Management Group (AIM: HW.), a leading UK-based
financial planning and discretionary wealth management business, is
pleased to announce the acquisition of AE Financial Services Ltd
("AE Financial"), an established chartered Independent Financial
Advisory firm based in Southampton from AE Insurance Services Ltd,
a company jointly owned by David Hayward and Michael Wright (the
"Acquisition"). The purchase price for the Acquisition is GBP4.6
million plus GBP1.54m in respect of net cash balances. The
Acquisition has been approved by the FCA.
The Acquisition provides Harwood with a strategic hub in
Southampton and enhances the Group's already established and
growing presence along the South Coast. AE Financial will continue
to operate as a standalone brand and will benefit from Harwood's
processes, technology and investment strategies. David Hayward,
director of AE Financial, will remain with the company. This is the
Group's most significant acquisition to date and demonstrates
Harwood's growing scale and capabilities.
For the year ended 31 December 2017, AE Financial reported
revenue of GBP1.3 million and profit before tax of GBP0.5 million,
both unaudited. The business has Assets Under Influence of GBP130
million.
The initial consideration of GBP2.4 million plus cash balances
has been paid on completion, satisfied through the Company's
existing cash resources. Further deferred consideration of up to
GBP2.2 million will be payable in two tranches over next 24 months,
subject to performance criteria of AE Financial being achieved.
David Hayward, Director of AE Financial said:
"We are very pleased to be joining such a well-respected and
successful Group. I am confident that Harwood will be a perfect fit
for our team and allow us to develop the business and continue to
provide high quality and dedicated advisory services to our
clients. We very much look forward to joining the team."
Peter Mann, Non-executive Chairman of Harwood Wealth Management
Group, said:
"AE Financial is a strong addition to the Group and we look
forward to welcoming both the team and clients to Harwood Wealth.
As well as further augmenting our presence in a key area of the UK,
this acquisition continues to build upon our successful model of
acquiring IFA firms who share our values and culture. We look
forward to continuing to deliver on our strategy, driving growth
organically and through further M&A in the period ahead."
For further information please contact:
Harwood Wealth Management Group
plc
Neil Dunkley, Joint Chief Executive
Officer
Alan Durrant, Joint Chief Executive +44 (0)23 9355
Officer 2004
N+1 Singer Advisory LLP +44 (0)20 7496
Alex Price / James Hopton 3000
Alma PR
Josh Royston / Rebecca Sanders-Hewett +44 (0)20 8004
/ Susie Hudson 4218
This information is provided by RNS
The company news service from the London Stock Exchange
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