National IFA Mattioli Woods has bought West Midlands advice firm Broughtons Financial Planning for up to £4m.
Broughtons has 250 clients and more than £120m assets under advice.
In the year ended 31 July Broughtons reported profit before tax of £620,000 on revenue of £990,000. Its net assets at that date were £560,000.
Mattioli Woods will pay £2.7m initially with £1.3m to be paid in the two years after the deal completes, subject to financial targets being met.
The Broughtons management team will stay with Mattioli Woods after the acquisition.
Mattioli Woods chief executive Ian Mattioli says: “The combined business gives us all opportunities to grow and develop the client offering and we welcome Gary and his team. Long-term stability and sustainability is key to growing a modern financial services group and we will all continue to strive to achieve this.”
Broughtons managing director Gary Bond says: “From our initial discussions with Mattioli Woods it was clear that we shared the same values and business culture.”