Redundancies likely after Sesame acquires Bankhall
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Sesame has confirmed that some redundancies are likely following the completion of its deal to acquire Bankhall and PMS.
Old Mutual and Friends Provident today confirmed that Sesame’s acquisition of Bankhall and PMS had been completed.
Sesame executive chairman Ivan Martin (pictured) says plans for Bankhall senior management are yet to be finalised.
He says: “We have a plan in our minds that we will put forward but this is day one and we need to get involved with Bankhall now and work with the management team and the people to work out what the best plan is moving forward.
“When you put businesses together that are the size of Bankhall and Sesame, clearly the rational for that is there are some duplications and there are some synergies that can be achieved. But it would be wrong for me to comment on the detail of that and we have to consult with our people before we can comment.”
The deal, first announced in July, sees Martin become the executive chairman of Sesame Bankhall Group. Sesame sales and marketing director Stephen Young will be chief operating officer.
Sesame Bankhall Group will incorporate over 10,000 advisers across the life, pensions, investment and mortgage sectors.
The consideration for the deal, which sees no historic liabilities transferred to Sesame, is being kept confidential.
Martin says: “Old Mutual and Friends Provident have put out an RNS stock exchange announcement and the two numbers quoted in there, as it’s a class three transaction, are last years’ Bankhall/PMS combined turnover which was £16.8m and the net assets that we’re acquiring at £11.8m. The consideration for the transaction is not declared and it will remain confidential.”
He insists that the three individual business brands will be retained under the Sesame Bankhall umbrella.
Martin says: “Sesame will be the network brand, Bankhall the services proposition to directly regulated advisers and Premier Mortgage Services will remain the mortgage club.”
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Readers' comments (4)
Anonymous | 18 Oct 2009 7:42 pm
I worked under Sesame 18 months ago it was a nightmare. All the file checks went to India and it was a complete mess, duplication, the right hand not knowing waht the left hand was doing etc. I am apprehensive that if they can't even manage things now how much worse will it be now they have got their claws into Bankhall. A sad day for all I fear.
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Joe | 19 Oct 2009 6:56 am
i heard they paid a £1 for this business
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Anonymous | 19 Oct 2009 9:27 am
I think Sesame are in trouble - they think the solution is to acquire - thats a huge ship to steer.
With RDR and a ban on commissions coming in 2012, there will be alot of advisers and companies who will see their revenue collapse.
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Na | 19 Oct 2009 12:09 pm
I think its a fantastic for Sesame and more importantly for the Bankhall advisers. I have heard numerous things about the shape of bankhall and it was only a matter of time before someone came to their rescue. The Exec team at Sesame are second to none. Here at Sesame we work tirelessly to ensure our advisers receive the top service of the top network. We didnt win the best Network award for 2009 by doing nothing!!!
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