Small firms losing consolidation race

Company directors of smaller firms say they have been "walking away" from consolidation talks because big players are pricing them out of the deal. They add the credit crunch is forcing sellers to demand up-front cash which small firms are unable to offer. However, others say some larger companies have paid over the odds for firms in recent years and will suffer as renewal commission continues to be hit by the shrinking value of funds under management. Mark Keniston, managing director at Alexander Price, says his firm's bids to expand are being quashed by competitors with greater fina...