A major acquisition worth £28 million involving two well-known island finance companies was announced today. (Thursday).

It involves Canaccord and Thomas Miller.

Canaccord Genuity Group Inc. announced that through its UK and Europe based wealth management business, Canaccord Genuity Wealth Management (CGWM), it has entered into a share purchase agreement to acquire Thomas Miller Wealth Management Limited (TMWML) and an asset purchase agreement to acquire the private client investment management business of Thomas Miller Investment (Isle of Man) Limited.The first £18.5m will be payable on completion, while another £9.5m is payable over a period of three years following the deal subject to achievement of performance targets, Canaccord said.

TMWML is an integrated wealth manager headquartered in London and provides financial planning and investment management services to private clients, trusts, charities and corporates in the UK.

Client assets of TMWML and the private client investment management business in the Isle of Man total approximately £1 billion and together generated revenue of approximately £8.4 million for the year ended December 31, 2018.

’The addition of Thomas Miller Investment’s private client business supports our long-term strategic ambition of expanding our footprint, whilst enhancing our financial planning business to ensure a truly client-centric offering that is essential for the future generational planning needs of our growing client

base,’ said David Esfandi, chief executive officer of CGWM (UK). ’With a modern and scalable platform, we have a proven track record of integrating businesses and client assets and we are deeply committed to ensuring that the business and clients of Thomas Miller Investment will have a successful future with CGWM (UK).’

The acquisition has been welcomed by Thomas Miller Investment given the similarities in specialist investment and independent financial planning offerings and the dedication to best-in-class client services shared by the two businesses.

Hugh Titcomb, chief executive officer of Thomas Miller Investment said: ’We are very proud of how the Thomas Miller Investment private client activities have developed over the past few years. We believe the transfer of the business to Canaccord Genuity Wealth Management provides an exciting opportunity to continue this development for the benefit of our clients and staff, supported by the significant resources and commitment provided by the company.

’Completing this transaction will allow Thomas Miller

Investment to focus on its core institutional investment management activities.’

Closing is subject to regulatory approval and other customary closing conditions. The acquisition is expected to be completed during the quarter ended June 30, 2019, which will be the first fiscal quarter of Canaccord Genuity Group’s 2020 fiscal year.

Canaccord's Isle of Man office is at Anglo International House, Bank Hill, Douglas, while the Thomas Miller office is also in the island's capital at Samuel Harris House, St George's Street.

Full story will be in business news in the next IoM Examiner.