Thu, 03 Mar 2022 | BUSINESS SALE
Aviva has acquired independent financial adviser (IFA) Succession Wealth for £385 million, approximately a 7.1x multiple of the wealth management business’ £54.3 million revenue for 2020. The acquisition will bolster Aviva’s presence in the wealth management space, enabling the insurance and pensions firm to expand its advice offering for customers.
Succession Wealth brings with it approximately 19,000 UK clients and around 200 wealth planners advising on £9.5 billion in assets. Post-acquisition, Succession Wealth will continue operating under its own brand as an independent, separately regulated advisory firm. The deal is awaiting regulatory approval and is expected close in the second half of the year.
Aviva says that it is in a “strong capital position” and that the deal is forecast to deliver a medium-term, double-digit return on invested capital. Doug Brown, CEO of Aviva UK and Ireland Life, said that Succession Wealth “have built a great business over the years” and commented that he was “confident that Aviva’s scale, resources, capabilities and shared vision will enable Succession Wealth to further expand its leading client and planner proposition in the UK’s attractive wealth market.”
Brown added: “This acquisition will broaden our advice offering and will help our existing customers currently without an adviser to better secure their financial future.”
Aviva group CEO Amanda Blanc said: "The acquisition of Succession Wealth boosts Aviva's presence in the fast-growing UK wealth market, supports our strategy to grow sustainably and expands Aviva's ability to offer high quality financial advice to millions of our customers."
Succession Wealth has grown considerably since it was founded in Plymouth in 2008, carrying out 60 acquisitions. Two years ago, the company moved its headquarters to Birmingham, but retains a base in Plymouth, as well as operating from locations in Edinburgh, Chester and Rugby.
Succession Wealth CEO James Stevenson, who will remain in place post-acquisition, said: “The demand for financial advice across the entire wealth spectrum has never been greater, and the opportunity to combine Succession Wealth’s holistic financial planning expertise, with the capabilities and customer reach of Aviva is hugely exciting.”
“The Succession Wealth brand and our core independent advice proposition is fundamental in providing ongoing stability and reassurance to our existing clients and our people as we embark on this new journey as part of Aviva.”
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An established Independent Financial Adviser (IFA) firm in the North-West with £100 million Funds Under Management presents a unique acquisition opportunity.
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Opportunity to acquire a respected financial adviser in London with a significant £90m funds under management portfolio, providing a solid foothold in the high-net-worth sector.
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