Pensions software provider the Equiniti Group has sold its Sipp consulting arm Xafinity Consulting to CBPE Capital for an undisclosed amount.
The deal is expected to complete in the first quarter of 2013, subject to certain conditions and regulatory approval.
Equiniti says the sale is consistent with its focus on larger scale complex administration and financial processing contracts for pension, shareholder and commercial solutions.
Xafinity Consulting works across pensions, healthcare and employee benefit consulting and administration and will continue to provide Sipp consulting and independent trusteeship of schemes.
Equiniti Group was created in 2010 by bringing together Xafinity pension administration, software and consulting business with the outsourcing and share registration provider Equiniti.
Equiniti Group chief executive Wayne Story says: “We believe that separating the Xafinity Consulting business now is the right course of action for both Xafinity Consulting and the wider Equiniti Group, enabling each to a have a clear focus.”
Xafinity Consulting managing director Robert Birmingham says: “Xafinity Consulting will continue to concentrate on its existing markets within which we have significant ambitions to develop and expand our range of services and products.”
Syndaxi Chartered Financial Planners managing director Rob Reid says: “There will be a few more Sipp businesses up for sale and there will be more consolidation in the sector. With more regulation it will be curtains for many small businesses as the fixed costs become too high.”