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Malone may leave PMS in fury at Sesame deal

PMS managing director John Malone is understood to be furious after not being consulted on Sesame’s proposed acquisition of Bankhall and is thought to be planning to leave the firm.

Industry sources have told Money Marketing that PMS management only learnt of the deal yesterday afternoon following news reports.

Malone is understood to be in talks with a lender and other distributors over future business plans and may look to take key members of his team with him.

Sesame announced yesterday that it has entered into discussions with Skandia about acquiring Bankhall and PMS.

Sesame chief executive Ivan Martin said yesterday that under the proposed deal the Bankhall and PMS brands would be retained with the Bankhall brand used to drive forward the group’s support service offering.

Former Edeus chief executive Michael Bolton says he is extremely surprised at the news Malone was not involved in the deal.

He says: “If this is true that John and his team are not involved in the deal I am very surprised, after all, Malone and his team contributed over £50m of profits to Bankhall over the past five years and I would not think this is the way you treat people.”

Sesame’s Ivan Martin said his firm would be entirely committed to the PMS business and its people should the acquisition take place.

He says: “I cannot comment on communications between Bankhall and PMS, but we have entered into these discussions on the basis that we have long admired both businesses.

“With PMS specifically, the business has been developed into the number one mortgage club in the marketplace. Combined with what we have done at Sesame the businesses will form a formidable force if the deal completes.

“If the deal goes ahead I can promise a bright future for PMS staff.”

Malone was unavailable for comment.

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Comments

There are 2 comments at the moment, we would love to hear your opinion too.

  1. Malone PMS & Sesame deal
    Perhaps Sesame were upset about the way John Malone orchestrated the “Advisers leave off the Bank’s” campaign in 2008 – it would apprear that supporters of the IFA community have had their say!

  2. Douglas Carroll 3rd July 2009 at 1:25 pm

    Stayed Too Long
    If my memory serves me well, John Malone wanted out in 2006 but it didn’t go his way, then followed the downward spiral.

    He seemed to lose the balance between the interests of the lenders and those of advisers and their clients.

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