The parent company of IFA Saunderson House has indicated the business is up for sale.
In a trading update today, IFG Group, also the parent of James Hay, says it has received a number of approaches for the business.
The trading update says: “Discussions are at a preliminary stage. The group will consider a sale if appropriate value for shareholders can be achieved. There can, however, be no certainty that a transaction will complete.”
The update says Saunderson House is “uniquely positioned” within its core markets, and is it in good stead to continue positive performance even with the ongoing issues for James Hay over the Elysian Fuels scheme.
It says: “The board, in consultation with its advisers, has however concluded that greater value for shareholders may be created by a sale of Saunderson House.”
Saunderson House and platform James Hay increased their client bases by 247 and 6,000 respectively in 2017, despite continuing legacy issues plaguing IFG Group.
IFG chief executive, John Cotter, says: “Strong fundamentals, good growth and improving underlying financial performance in both our businesses has been overshadowed by a number of legacy issues. Our desire is to bring closure to these issues as soon as possible.”
Figures show James Hay saw a 30 per cent increase in client growth compared with 2016, bringing total assets under administration for the platform to £25.2bn.