Berkley Berry Birch (BBB) has confirmed the sale of Berkeley Independent Advisers (BIA), Berry Birch & Noble Financial Planning (BB&N FP) to Tenet for £2,350,000, but it has also confirmed the failure to reach a deal on Weston.
As a result Weston has been instructed to cease conducting business immediately.
The Board of Weston is now looking for a buyer for the business who can complete the sale at short notice. Meanwhile, MacRobins and Berry Birch & Noble Estate Planning remain solvent and will continue to trade while the Board of BBB along with those of the two companies, seek buyers for the businesses.
The initial payment from Tenet to BBB on completion of the sale will be £900,000, with a deferred consideration of up to a maximum of £1,450,000. The deferred sum will be payable in two stages, with up to £200,000 payable after six months for BIA depending on the number of BIA advisers which stay with Tenet.
The remaining £1,250,000 will be payable after a year, of which £250,000 is for BIA and £1,000,000 if in respect of BB&N FP, depending on the turnover of the two companies in the year following completion of the sale. In addition Tenet will also take on estimated net liabilities of £700,000 for BIA, and £700,000 for BB&N FP.
All of the staff working for these businesses have transferred to Tenet, including those working for Berkeley Berry Birch Group Support Services, which provides administrative support to the company.
BBB states around 300 IFAs from BIA will now become Appointed Representatives of Tenet’s Interdependence network including 5 IFAs employed by MacRobins, which is being retained by BBB.
BIA, which has changed its name to BBB Network following the sale, also provided support services to around 60 firms who are directly authorised. As a result of the sale they will now receive these services from Tenet Support Services.If you have any comments you would like to add to this story or would like to speak to its author about a similar subject, telephone Nyree Stewart on 020 7968 4558 or email [email protected]IFAonline
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