£143.5m double deal
Mattioli Woods in swoop for Maven Capital Partners
Maven has invested in SMEs
Mattioli Woods, the specialist wealth and asset management business, has announced a £143.5 million double swoop on Scottish private equity business Maven Capital Partners, and LWMG Topco, the holding company of Ludlow Wealth Management Group.
Maven, an investor in UK SMEs and with £772m of assets under management, will be acquired in a £100m cash and shares deal.
The £43.5m Ludlow deal, including deferred payments, is on a cash and debt free basis.
Mattioli Woods will raise £110 million in a placing of shares to help fund the acquisitions.
Management expects profit growth for Maven in each of the two years ending 31 March 2021 and 2022 with expected revenue and cost synergies of at least £1m.
Maven is an owner-led business comprising 12 partners, with a regionally based team of 91 investment executives and support professionals.
It was formed by Bill Nixon when he led a management buyout of the private equity operations of Aberdeen Asset Management in 2009.
It operates across 10 offices in Glasgow, Edinburgh, Manchester, Birmingham, London, Newcastle, Bristol, Nottingham, Durham and Reading. All staff will be retained following the deal.
Ludlow Wealth Management is a financial planning business in the North West of England with total assets under advice of £1.6 billion.
The two acquisitions expand the company’s platform to drive organic growth, increasing total client assets to £13.6 billion, representing “meaningful progress” towards its strategic goals
Mattioli Woods said £60m of the placing proceeds are allocated to the Maven acquisition and £26m to the Ludlow Wealth Management deal.
Ian Mattioli, chief executive of Mattioli Woods , said: “These acquisitions mark significant milestones in Mattioli Woods’ journey.
“Since our admission to AIM in 2005 we have seen significant expansion in both the size and nature of our business, responsibly integrating asset management, financial planning and employee benefit services to serve personal and corporate clients throughout the UK.
“The acquisitions of Maven and Ludlow Wealth Management represent meaningful progress towards our ambitious medium-term goals.
“We have a strong track record of combining like-minded businesses that share the same culture and ethos of putting clients first.
“The teams at Maven and Ludlow Wealth Management share our passion for delivering exceptional client outcomes and going the extra mile.
“Throughout our discussions with Bill Nixon at Maven and Ian Hemingway at Ludlow Wealth Management, it has been apparent that we share a desire to continue growing the enlarged group, further enhancing our client proposition and delivering sustainable shareholder returns.
“These transactions represent a complementary extension of the group’s existing investment proposition and add to our distribution capacity, allowing us to continue developing our product offering, accelerate organic growth and realise both revenue and cost synergies.
“I believe we are better-positioned than ever to provide our clients with the proactive advice and bespoke investment solutions they require.”
These deals follow the acquisition earlier this year of Edinburgh-based Caledonia, Pole Arnold Financial, and London wealth adviser Montagu.