Jersey-based financial services group Team Plc has acquired Dubai-headquartered Globaleye Wealth Management and Isle of Man-based financial planning firm Thornton Associates for a combined sum of £8.1m ($10.1m, €9.43m).
Post-completion, these two acquisitions will take Team’s assets under management and advice to over £850m.
Thornton and Globaleye represent the Jersey-based firm’s fifth and sixth acquisitions in the last three years.
In the first deal, Team has acquired the entire issued share capital of Globaleye BVI, the parent company of the Globaleye Wealth Management Group.
Globaleye is an international wealth management business with offices in Dubai, Abu Dhabi, Singapore, South Africa, and Malaysia. It has total client assets under advice of £242m.
Founded in 1996 by chairman Tim Searle, Globaleye specialises in wealth management, insurance broking and complementary financial services, providing advice to affluent, high and ultra-high net worth private individuals, trustees, corporates and business owners.
Team said that the deal is a good opportunity for the firm to enter the UAE and Singapore wealth markets, which continue to grow rapidly.
The acquisition of Globaleye is for total consideration of up to £5.6m, including an initial consideration of £4.8m.
Searle said: “We are delighted to announce that Globaleye Wealth Management will be partnering with Team to provide an enhanced product offering to its clients. There is a compelling strategic rationale for joining forces and the companies are a strong cultural fit, both with an entrepreneurial and performance-driven culture.
“Our clients will be able to benefit from Team’s highly successful multi-asset portfolio management, bespoke portfolio and cash and treasury management services. For our valued team at Globaleye Wealth Management, there will be an opportunity to work within a collegiate and client focused culture and to take advantage of Team’s complementary management and support services. I look forward to joining Team as a substantial and supportive shareholder.”
In the second deal, Team has conditionally agreed to acquire the entire issued share capital of Thornton Associates Limited, trading as Thornton Chartered Financial Planners for a consideration of up to £2.5m.
Thornton is an Isle of Man based financial planning business with assets under advice of £121m and approximately 180 client groups. The deal allows Team to expand its operation across the Crown Dependencies.
Team plans to integrate Thornton into its financial planning activities, moving towards one operating model and brand.
On completion of the acquisition, an initial consideration of £900,000 is payable in cash, plus an amount equal to the net assets of Thornton of £250,000 less regulatory capital of £50,000.
In addition, a deferred consideration of up to £1.4m is payable, half in new Team shares and half in cash. The deferred consideration is payable in two instalments of up to £700,000, dependent upon the revenue generated by Thornton in the 24 months following Ccmpletion.
The acquisition is subject to approval by the Isle of Man Financial Services Commission and is expected to complete in Autumn 2023.
Matthew Moore, chief financial officer and chief operating officr of Team, said: “The acquisitions of Globaleye and Thornton takes Team closer to £1bn under management and advice in our target markets and extends our global footprint to seven countries. In doing so, we believe we are carving out a valuable section of the high net worth market who are living outside of their mainland home tax jurisdiction and are in need of specialist financial advice, which in the past has not been easily accessible. Team is filling that space and we see significant scope to expand further.
“In the Isle of Man, Thornton has been at the forefront of financial planning to help its clients manage, protect and maximise their wealth. In doing so, it has built a strong reputation across the island. Becoming part of Team is a natural fit and will, we believe, facilitate the next stage of growth for Thornton which will benefit from being part of a larger group, offering a wider range of services whilst maintaining the same customer centric ethos.
“We are delighted to welcome Thornton into the Group. The acquisition is a natural extension into the Isle of Man from our base in Jersey and matches our strategy to build a new wealth, asset management and complementary financial services group with a focus on the UK, Crown Dependencies and International Finance Centres.”