Aim adviser and wealth manager Merchant Securities has acquired GT Independent Financial Advisers for an initial £2m in cash and shares.
This acquisition will more than double Merchant’s assets under advisory and discretionary management to £485m.
Up to £1m more could become payable – up to 50% could be in shares – depending on the achievement of revenue targets for management fee income. GT, which has 3,300 private clients, generated revenues of £1.25m in the year to May 2010. It made a profit of £280,000.
At 23.5p a share, Merchant is valued at £11m.
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