News

8
Aug

Mattioli Woods secures purchase of West Midlands advice firm

National IFA Mattioli Woods has bought West Midlands advice firm Broughtons Financial Planning for up to £4m.
Broughtons Financial Planning looks after 250 clients, with more than £120m AUA. If the sale reaches the maximum price of £4M this will represent 3.3% of FUM – a premium price probably justified in part by the larger than average portfolio size and relative profitability of clients.
In the year ended 31 July Broughtons reported profit before tax of £620,000 on revenue of £990,000. Its net assets at that date were £560,000.
Mattioli Woods will pay £2.7m initially with £1.3m to be paid in the two years after the deal completes, subject to financial targets being met.
It is reported that the broughtons management team will stay with Mattioli Woods after the transition.
Mattioli Woods chief executive Ian Mattioli says: “The combined business gives us all opportunities to grow and develop the client offering and we welcome Gary and his team. Long-term stability and sustainability is key to growing a modern financial services group and we will all continue to strive to achieve this.”
Broughtons managing director Gary Bond says: “From our initial discussions with Mattioli Woods it was clear that we shared the same values and business culture.”