Newly-launched wealth manager Solomon Capital Holdings has made its second major acquisition in three months with a deal to buy 34-adviser national Financial Planning firm Gale and Phillipson.
In June private equity-backed Solomon agreed to acquire financial adviser Beaufort Group for an undisclosed sum.
Solomon was founded by former Quilter Financial Planning CEO Andy Thompson and CFO Darren Sharkey last year.
Solomon will take full ownership of Gale and Phillipson, which has £1.4bn under advice or management. Gale and Phillipson CEO David Carr will join the executive team at Solomon following completion of the deal which is for an undisclosed sum.
Solomon says that the Gale and Phillipson deal puts in place “the final foundation block” of its plan to build an integrated national advice and wealth management business. It plans further regional acquisitions.
Gale and Phillipson was founded in 1988 and has offices in London, Newcastle, Richmond and Northallerton. Its 34 advisers look after more than over 3,500 clients. The firm also has its own discretionary fund management arm with £500m under management and £900m under advice.
Solomon’s other recent acquisition, Beaufort Group, was set to be acquired by adviser network Socium Group last year but the network chose to withdraw its offer due to ‘not being able to fit the business into its model’.
Solomon acquired Financial Planning firm Beaufort Financial and sister firm YOU Asset Management. YOU is a discretionary fund manager with £1.4bn in funds under management on behalf of private investors, trusts, charities, and corporate bodies.
Solomon says that with Beaufort Financial, YOU Asset Management and now Gale and Phillipson, Solomon’s model will be to acquire other successful regional firms to create an integrated network of hubs serving more than 50,000 clients across the UK.
Solomon is backed by private equity firm JC Flowers & Co.
David Carr, Gale and Phillipson CEO, said: “This is a momentous day for everyone at Gale and Phillipson and the thousands of clients we are so passionate about serving. What the team at Solomon has planned will set new standards in the UK advice and wealth management sector and it is testament to the strength of our business and talent of our team that we have been invited to play such a pivotal role alongside Beaufort Financial and YOU Asset Management.”
Simon Goldthorpe, vice chairman of Solomon, said: “The acquisition of Gale and Phillipson means we now have the best possible foundations in place to really step up our acquisition and onboarding process. With a strong pipeline of high-quality deals already in place we will be adding considerable scale to the business over the coming months as we deliver on our aim to create a leading national advice and wealth management business serving in excess of 50,000 clients.”
