REG - Kingswood Holdings - Acquisition of Allotts Financial Services Limited

Kingswood HoldingsAnnouncement

01/02/2022 07:00

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RNS Number : 2797A  Kingswood Holdings Limited  01 February 2022

1(st) February 2022

KINGSWOOD HOLDINGS LIMITED

("Kingswood" or the "Company")

 

Acquisition of Allotts Financial Services Limited (AFS)

 

Kingswood announces the exchange of contracts for acquisition of Allotts
Financial Services Limited (AFS)

 

AFS is a high quality, long established financial advisory firm based in
Rotherham and serves clients covering primarily in South Yorkshire

 

The transaction boosts Kingswood's UK client facing advisory team
to 83 people and increases UK funds under advice/management to £6.5bn
billion from circa 16,640 active clients.

 

Kingswood Group assets under administration ("AuA") will total over £8.1bn
from a combination of both global retail and institutional clients matching
our ambition to grow globally as an international integrated full service
wealth and investment management group

.

 

Kingswood Holdings Limited (AIM: KWG), the international, fully integrated
wealth and investment management group, is pleased to announce it
has exchanged and completed the acquisition of Allotts Financial Services
Limited ("AFS"). AFS is a high quality, long established financial advisory
firm based in Rotherham and serves clients covering primarily in South
Yorkshire.

David Lawrence, UK CEO at Kingswood, commented: "I am delighted to be
welcoming the AFS team to Kingswood. Allott's has a great reputation for
serving clients over many years and is a great addition to Kingswood's
existing footprint in the wider Sheffield region. After this acquisition is
concluded we will have 13 advisers meeting their client financial advice and
investment needs.

"We remain committed to perpetuating our stated growth strategy within
the UK and internationally. This is our second acquisition of 2022 and we
continue to have a strong pipeline of high-quality UK opportunities under
negotiation, five of which are in exclusive due diligence as we continue to
grow our financial planning and investment management reach across the UK."

About Allots Financial Services Limited (AFS)

Set up in 1998, AFS provides independent financial advice to over 400 active
clients and currently employs three advisers, with five support staff covering
clients primarily in South Yorkshire with approximately £140m AUA. In the
year ended 31 March 2021, AFS generated revenue of £791k and profit before
tax of £355k.

Following regulatory approval, the business will be acquired for total cash
consideration of up to £2.5m, payable over a two year period, £1.25m will be
paid at closing and the balance paid on a deferred basis, some of which is
subject to the achievement of pre-agreed performance targets.

Neil Highfield, speaking on behalf of AFS commented: "I feel this is an
important and positive step forward for Allotts Financial Services. Kingswood
share our own values & beliefs around providing an excellent service to
clients and they will hugely benefit from their large support network and
expertise in the financial services industry.''

 

Consideration

 

On completion, the acquisition will be funded from funds recently received by
Kingswood from the issue of new convertible preference shares, under the
terms of its Convertible Preference Share subscription agreement with HSQ
INVESTMENT LIMITED, a wholly owned indirect subsidiary of funds managed and/or
advised by Pollen Street Capital Limited ("Pollen Street"). Kingswood's
partnership with Pollen Street grows in strength, and to date has provided
growth equity of £77.4 million to support existing and future acquisitions.

ENDS

For further details, please contact:

 Kingswood Holdings Limited                          +44 (0)20 7293 0730
 David Lawrence                                      www.kingswood-group.com (http://www.kingswood-group.com/)
 finnCap Ltd (Nomad & Broker)                           +44 (0)20 7220 0500
 Stuart Andrews / Simon Hicks / Abigail Kelly
 GreenTarget (for Kingswood media)                      +44 (0)20 7324 5498

 Jamie Brownlee / Alice Gasson / Ellie Basle            Jamie.Brownlee@greentarget.co.uk
                                                     (mailto:Jamie.Brownlee@greentarget.co.uk)

 

About Kingswood

Kingswood Holdings Limited (trading as Kingswood) is an AIM-listed (AIM: KWG)
international fully integrated wealth management group with circa £7.9bn
billion of Assets under Advice and Management. It services circa 15,900
clients from a growing network of offices in the UK including Abingdon,
Beverley, Conisbrough, Darlington, Derby, Grimsby, Harrogate, Hull,
Lincoln, London, Maidstone, Newcastle, Sheffield (2), Worcester and York
with overseas offices in Johannesburg, South Africa and Atlanta, New York
and San Diego in US.

Kingswood offers a range of trusted investment solutions to its clients, which
range from private individuals to some of the UK's largest universities and
institutions, including investment advice and management, personal and company
pensions and wealth planning. Kingswood is focused on becoming a leading
player in the wealth and investment management market through targeted
acquisitions in the UK and US, creating a global business through strategic
partnerships.

Registered office address: Mont Crevelt House, Bulwer Avenue, St. Sampson,
Guernsey, GY2 4LH

 

About Pollen Street

 

Pollen Street is an independent alternative investment management company,
focused on accelerating the progress of the financial, business services and
technology sectors. It was established in 2013 and manages over £3bn AUM
across private equity and credit strategies on behalf of investors including
leading public and corporate pension funds, insurance companies, Sovereign
Wealth Funds, Endowment and Foundations, asset managers, banks, and family
offices from around the world. Pollen Street has a team of over 70
professionals with offices in London and New York City.

www.pollencap.com 

 

 

 

 

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