AFH Financial Group Plc Further Acquisitions (6653M)

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RNS Number : 6653M

AFH Financial Group Plc

01 August 2017

1 August 2017

AFH FINANCIAL GROUP PLC

("AFH" or the "Company")

FURTHER ACQUISITIONS OF INDEPENDENT FINANCIAL ADVISERS

The Board of AFH, a leading financial planning led wealth management firm, is pleased to announce the completion on 31 July 2017 of the acquisitions of the assets of Arden Financial Consultants LLP and the share capital of Martin Cooper Wealth Management Ltd, both based in the West Midlands (the "Acquisitions"). Following the Acquisitions Kevin Hobbs, Steve Down and John Kirkland will join AFH as advisers. The other vendors will retire and their clients will be serviced by existing AFH advisers.

Under the terms of the Acquisitions, the combined maximum purchase price is GBP1.4m. The Acquisitions are expected to contribute an aggregate of approximately GBP430,000 of recurring revenue to the Company whilst adding GBP50m of Funds under Management.

The initial consideration for the Acquisitions is GBP0.7m in cash, funded from the Company's existing cash resources. Further deferred consideration of up to GBP0.7m in cash will be payable in cash over the next 26 months in two tranches, dependent upon performance criteria of the assets and business acquired.

Commenting, Alan Hudson, Chief Executive of AFH, said:

"These two acquisitions, our eleventh and twelfth purchase of IFA businesses during the year, confirm the continued high level of activity that we are seeing in the market. The latest acquisitions continue our strategy of providing a stable and well capitalised business within which successful IFAs can continue to provide their clients with professional advice and investment opportunities, both on a personal basis and in retirement."

"I am pleased to welcome Kevin, Steve and John to AFH and look forward to working with them to continue our growth within both the regional and national marketplace."

Enquiries:

AFH Financial Group PLC 01527 577 775

Alan Hudson, Chief Executive Officer

Paul Wright, Chief Financial Officer

www.afhfinancialgroup.com

Liberum (Nominated Adviser and Broker) 020 3100 2000

John Fishley/Richard Bootle

This information is provided by RNS

The company news service from the London Stock Exchange

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August 01, 2017 02:01 ET (06:01 GMT)