Kingswood Global Wealth Management Group acquired Lincoln-based JCH Investment Management Limited, which manages over £105 million in client assets over 240 clients.
A deal was struck for £3.5m, with part of the consideration tied to performance targets. Initially, £2.1 million will be paid, once regulatory approval has been granted and the balance paid payable over a two-year period, subject to the achievement of previously agreed performance targets. The acquisition remains subject to regulatory approval.
In the year ending July 31, 2022, JCH generated revenue of £901,000 and pre-tax profit of £406,000.
The Kingswood Group’s assets under advisement (“AuA”) total over £10 billion from a combination of global retail and institutional clients.
David Lawrence, Kingswood Group CEO, commented : “I am delighted to announce the acquisition of JCH. Led by John Hebblethwaite, JCH has built deep and lasting relationships with its clients over many years and John and his team have a strong cultural alignment with Kingswood.
“This acquisition also allows us to consolidate our existing footprint in Lincolnshire and in doing so create a scalable hub from which to grow. Upon completion, the existing Kingswood team will co-locate with the JCH team at their Lincoln premises.
“Kingswood continues to be an acquisition business and has a five more buy trades as part of an exclusive due diligence that we plan to close in the coming months.
John Hebblethwaite JCH commented:“We are delighted to join the Kingswood Group. This is an exciting development for the business, providing additional expertise, capabilities and funding to continue our long-term track record of delivering top-notch service to our customers. Kingswood shares our vision and beliefs of empowering its employees to provide excellent customer service and this decision yields the perfect outcome for our customers and our team for their future prosperity.
“I spent over two years researching our options for a potential merger or sale, looking for a ‘partner’ who would allow us to move all aspects of our business forward for the benefit of customers and staff. I am convinced that Kingswood, as a leading consultancy firm, has the team and the culture to be able to do this. We were very impressed with the depth of quality of their management team.
“This is a significant and positive step forward for JCH, as Kingswood shares our core philosophy of providing exemplary customer service above all else.
“Their focus on service with great results for clients, combined with the understanding that our team is at the heart of the business, giving them the opportunity to thrive and grow, made the decision to join them easy.”