Brooks Macdonald Group plc, the AIM listed integrated wealth management group, has completed the acquisition of the Clarke Willmott investment management team. As at 31 October 2011, a total of GBP114m of discretionary client assets has transferred with the team.
The initial agreement to purchase the investment management activities of national law firm, Clarke Willmott LLP (“Clarke Willmott”), based in Taunton, Somerset, was announced on 8 August 2011. An initial consideration of GBP1.56 million in cash was paid from the Group’s existing resources at that time. Additional consideration of GBP0.36 was paid on completion, also paid in cash from the Group’s existing resources. Two final tranches of consideration are payable, respectively 12 and 24 months post-completion. The total consideration (including the initial payment of GBP1.56 million) will be based on a maximum of 3.25% in total of the relevant discretionary funds under management, split across the respective payment dates. The total consideration is subject to a maximum of GBP6 million.
The team has been integrated into and rebranded as Brooks Macdonald Asset Management Limited (“BMAM”), the Group’s discretionary investment management business. They are based in new offices in Taunton, which formally opened yesterday under the Brooks Macdonald banner, thereby establishing BMAM’s sixth office location, complementing its existing offices in London, Hampshire, Manchester, Tunbridge Wells and Edinburgh.
The acquisition is in line with Brooks Macdonald’s growth strategies of expanding its business by organic investment in its core businesses, acquiring investment management teams and offices, and developing its product and service offering. The assets managed by the team will be included in the next quarterly announcement of the Group’s discretionary funds under management.
Chris Macdonald (pictured), Chief Executive of Brooks Macdonald, says: “It has become even clearer from the integration process that there is a strong cultural and operational fit between BMAM and the new team. We are delighted that they are now fully operational in our new offices in Taunton, providing a gateway for the Group into the South West. We are confident that they will make a significant contribution to further growth in Brooks Macdonald’s discretionary funds under management.”
Nick Skelhorn, Investment Manager Director and head of the new Taunton office, says: “We are thrilled to be joining the Brooks Macdonald team and are looking forward to continuing the hard work they have begun in bringing their successful investment model and bespoke discretionary portfolio management service to the south west.”