Sanlam UK, the UK arm of South Africa-based Sanlam Ltd, has agreed to acquire Tavistock Financial, a network of financial advisers from Cheltenham-based Tavistock Investments plc for £1 million payable on completion.
Tavistock Financial consists of 158 financial advisers and 25 support staff.
According to a press release issued by Tavistock Investments Tavistock Financial’s estimated earnings for the year to 31 March 2017 amounted to around £13.4 million with attendant cost of sales of £12 million and contributed EBITA of approximately £500,000.
“Earlier this year I announced the launch of Sanlam Partners, a way for adviser firms to leverage the benefits of the wider Sanlam Group while retaining control of their business,” said Jonathan Polin, Sanlam UK’s chief executive. "The initial response from advisers has been hugely positive and today’s acquisition allows us to accelerate this concept, putting us in a strong position to bring on-board other adviser firms.
“This is another significant milestone in our mission to build a client-centric, advice-led and outcome-focused business and I look forward to working with our new colleagues to make it a success.”
Earlier in August Sanlam announced that it recruited Penny Lovell from Close Asset Management to head a new private office initiative.
Sanlam has made a number of acquisitions following its decision to acquire a wealth management presence in the UK. These include Principal Investments and Border Asset Management, two small discretionary private client asset management firms that it acquired in 2008 and 2011 respectively.