Mattioli Woods has bought 100 per cent of the share capital of Doherty Pension & Investment Consultancy for a total consideration of up to £15mn.
Doherty's is a large financial planning and wealth management businesses in Northern Ireland, with specialist pension expertise and a discretionary investment management offering.
Total consideration of the deal is £15.048mn which comprises of £6.78mn in cash plus £2mn in new ordinary shares in Mattioli Woods.
There will also be a deferred consideration of £1.5mn and contingent consideration of up to £4.77mn, payable in cash in the two years following completion, dependant on performance.
Michael Wright, group managing director of Mattioli Woods, said: "It is very rare that such a great opportunity to bring one of the largest financial planning businesses in Northern Ireland into the Mattioli Woods Group presents itself.
“This acquisition is an important step forward for Mattioli Woods, strengthening our position as the only Ssas and Sipp operator based in Northern Ireland.”
The firm said the purchase is a high quality opportunity that extends the group's existing operations in Northern Ireland, adds investment expertise to its existing discretionary management proposition and adds experienced advisers to the consultancy team.
Doherty currently advises 1,320 private clients, including specialist pension advice on Ssas's, with combined assets under advice and administration of over £635mn.
It has a regional presence in Belfast and employs 28 staff.
As part of the deal, Doherty's management team will be retained by Mattioli Woods.
Wright said: “In over 30 years of operations, Doherty's has built a solid and respected reputation, with integrity and professionalism at the heart of its client service.
“It was clear from our initial discussions that Doherty's is a great fit culturally and strategically, including a focus on long-term client relationships, serving a similar client base to our existing business.”
He added: "We are delighted to welcome Terry, Alan, John and their team into the group. There are many complementary elements between our businesses enhancing our specialist pension, discretionary portfolio management and financial planning propositions.
“We believe the range of products and services that Mattioli Woods has to offer can support the excellent outcomes from which Doherty's clients already benefit."
Mattioli Woods said the acquisition is in line with the group's strategy to explore high quality acquisition opportunities, alongside its focus on organic growth.
Terry Lappin, managing director of Doherty's, said: "We are delighted to be joining the Mattioli Woods Group as the synergy between our companies was obvious from our very first discussion. This can only improve our client offering and we are looking forward with enthusiasm to what can be achieved.”
sonia.rach@ft.com
What do you think about the issues raised by this story? Email us on ftadviser.newsdesk@ft.com to let us know
