Wealth manager Ashcourt Rowan is to receive an £8.5m cash injection designed to strengthen the company's balance sheet and help it realise its ambitions in the financial advice space.
The money will come in the form of a share placing which is expected to be approved by the board at a general meeting to be held on 2 December.
A combination of new and existing investors will acquire the shares in a bid to position the business as a leading player in the wealth management space over the next three to five years.
It follows the appointment in August of Jonathan Polin, the former sales and marketing director at Ignis Asset Management, as group chief executive.
The company said its intention is to use the additional capital to strengthen its balance sheet and improve the firm's regulatory capital position.
It also plans to develop a "best of breed" investment management proposition and "formalise" arrangements in relation to certain assets managed under the company's Savoy brand.
Polin said: "Despite the considerable internal and external headwinds experienced by the business over the last six months, I strongly believe Ashcourt Rowan has the potential to become one of the leaders in UK wealth management space.
"With close to £4bn of assets under management or influence and 18 offices around the country, Ashcourt Rowan is extremely well positioned to take advantage of the opportunities in the wealth management sector and I am committed to ensuring the business reaches its full potential."
The group announced its ambitions in the wealth management arena following a strategic review last year.
The first steps in that project included offloading fund management brands Zenith and Epic and acquiring Co-operative Bank Independent Financial Advisers.
The group posted a £16.8m loss in 2010 thanks in part to a number of one-off exceptional items - including its disposal of Zenith and Epic - and an £825,000 contribution to an FSCS interim levy.
Without these, it said the core underlying business generated a profit before interest, tax depreciation and amortisation of £1m.
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