By Ian McConnell
STRATEGIC Asset Managers, the Glasgow-based financial advice firm owned by husband and wife Derek and Fiona Stewart, has been sold to acquisitive international wealth management group Kingswood for up to £5.1 million in cash.
The money is payable over two years, £3.1m on completion and the balance on a deferred basis subject to achievement of performance targets.
Strategic Asset Managers (SAM) has three advisers and a total of eight employees, managing in excess of 400 clients and with more than £200m of assets under administration. It was formed in 2001.
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Alternative Investment Market-listed Kingswood noted the acquisition, its first in Scotland, would boost its “global funds under advice/management” to more than £10.5 billion. Around £8bn of these funds are in the UK and Ireland. London-based Kingswood, which said it had another “four purchase transactions under exclusive due diligence”, also has offices in the US and South Africa.
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Derek Stewart, chief executive of SAM, said: “Delivering advice in today’s complex markets requires significant resources, which Kingswood have...We operate in a very similar way and believe this will benefit our clients and present greater development opportunities for our staff.”
SAM managing director Fiona Stewart said: “Joining Kingswood will allow our clients and staff access to technology and resources that were out of our reach as a smaller advisory firm.”
Asked if Kingswood had plans to acquire other businesses in Scotland, a spokesman replied: “Kingswood continues to look for the right opportunities to expand our footprint across the UK&I [UK and Ireland] – as demonstrated by the acquisition of MMPI in Ireland and SAM in Scotland. We continue to evaluate opportunities as we find them and we would be very happy to continue expansion in Scotland if the right opportunity presents itself.”
David Lawrence, chief executive of Kingswood, said: "I'm pleased to announce another step forward in the growth of Kingswood as we expand our footprint into Scotland. When we are considering acquisitions, we do so with the upmost care, to ensure cultural and client focused alignment. SAM are focused on helping clients across the central belt of Scotland and Perthshire achieve a confident financial future. The opportunity to build our relationships across Scotland is an exciting one as we strive to help more people achieve their goals."
He added: "Kingswood's build and buy strategy continues, with a further four purchase transactions under exclusive due diligence, that we expect to close in the coming months, plus additional transactions that are currently under negotiation."
Kingswood said SAM works with families, businesses and professional partners across the central Scotland and Perthshire areas.
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