The senior management at Ludlow Wealth Management, an independently owned financial planning business in the North West of England, has raised £8m to fund a MBO.
The backing has come from Mobeus Equity Partners, who were introduced to the deal by Seneca Corporate Finance (advisers to the vendors and management).
Ludlow Wealth was founded in 1993 by Sid Ludlow who, following the MBO, has retired from day-to-day involvement in the business. He still retains a minority shareholding.
Between 2008 and 2013, the firm integrated 12 acquisitions and established a network of five regional offices. It has over £850m of assets under management.
Managing Director of Ludlow Wealth Ian Hemingway said “Ludlow takes pride in helping our clients make the right choices, enabling them to achieve financial peace of mind. This proven client focus is a key differentiator for the business and is increasing our market share, as well as making us an attractive acquirer for financial advisory businesses that share our passion for putting the client first.”
Incoming Chairman of Ludlow Wealth Phil Young (formerly Founding Partner and Managing Director of Threesixty Services LLP) added: “The timing of this deal is perfect for everyone concerned. The advice sector is full of M&A activity and the booming retirement market means that will continue for some time to come. We want the clients, advisers and staff of Ludlow to reap the rewards from this deal, as well as investors. We want it to be a great place to work for advisers, as that will be key to our future growth.”
Mobeus Partner Chris Price said: “Ludlow Wealth has a strong track record of organic growth and successfully integrating acquisitions of different sizes. We believe that there is a place in the market for a consolidator who is not looking to push acquired clients into discretionary funds but instead provide focused advisory services that deliver against the clients’ own goals.”