Advice firm Saunderson House is no longer up for sale, its parent company IFG has confirmed.
The group, which also owns platform provider James Hay, revealed in February it had received several unsolicited approaches for Saunderson House and was considering whether a sale of the London-based adviser could create greater value for its shareholders.
Since then, IFG said in a statement, its board had received "a number of non-binding indicative offers" for Saunderson House that had been "in line with market expectations". "These offers reaffirmed the strength of the business, its leading market position and its attractive long-term growth prospects," it added.
According to IFG, however, the board had concluded it was not in the best interests of shareholders to proceed with the sale process as the offers were "not wholly aligned with the strategy of Saunderson House" and would "present significant execution risks that would likely create lower shareholder value than from retaining the business".
IFG was now focused on continuing the development of the business, it said, as well as putting in place "short and long-term retention arrangements" for the senior management and employees of Saunderson House. To this end, a "retention award" of £1.5m is to be provided in each of the 2018 and 2019 financial years.
"The group has started 2018 strongly, with profitability materially ahead of the same period in 2017," IFG added. "The board believes both businesses are well positioned for future growth and profitability."
Combined five decades’ experience
Following Zurich acquisition
Bannister oversaw Standard Life acquisition
Firm's third acquisition this year