AFH Financial Group Plc completed July 31 the acquisitions of West Midlands, U.K.-based independent financial advisers Arden Financial Consultants LLP and Martin Cooper Wealth Management Ltd. for a combined maximum purchase price of £1.4 million.
The initial consideration amounts to approximately £700,000 in cash and is funded from AFH Financial Group's existing cash resources. The group will pay further deferred consideration of up to £700,000 in cash in two tranches over the next 26 months, depending on the performance of the acquired businesses.
AFH Financial Group said the acquisitions are expected to contribute an aggregate of approximately £430,000 in recurring revenue to the company and add £50 million to its funds under management. Arden Financial Consultants and Martin Cooper Wealth Management are the 11th and 12th independent financial advisers acquired by AFH Financial Group during 2017.
Kevin Hobbs, Steve Down and John Kirkland will join AFH Financial Group as advisers following the acquisitions. The other vendors will retire, with their clients to be serviced by existing advisers at the company.