Northland Capital Partners Ltd. and SP Angel Corporate Finance LLP entered talks over a potential merger of the two London-based stockbrokers and corporate advisers.

The companies both serve firms listed on the London Stock Exchange's AIM market. They said their merger would create a new entity with a broader capability to advise and raise money for companies on AIM and elsewhere.

Northland specializes in healthcare and technology, while SP Angel concentrates on mining, oil and gas, and technology.

The merger is conditional upon regulatory approval.