The deal, as exclusively revealed by Money Marketing in November, has been put to B-A shareholders and is now subject to an offer period, during which it needs 75 per cent shareholder approval and that of the FSA in order to progress.
Money Portal will pick up B-A’s 500 advisers and will run the B-A business alongside its existing propositions of network Sage, national IFA Bates and execution-only house Willis Owen. Burns-Anderson’s brand will be retained.
The group says B-A strengthens its suite of propositions, adding a proprietary IFA and directly authorised support service proposition, which it is currently lacking, as well as an alternative network.
Managing director Chris Edge says this will give consumers maximum choice, which he says will help with servicing orphan and neglected clients, a key factor in treating customers fairly.
Edge says: “The Money Portal directors consider the two businesses to be a complementary fit and that completion of the acquisition of Burns-Anderson is likely to result in combined business which will rank at number two in the sector in terms of market share. The Money Portal directors are confident that this scale can be harnessed for the benefit of its clients, employees and shareholders.”
B-A chief executive Mike Hughes says: “When Burns-Anderson appointed me as chief executive three years ago, my priorities were to build a successful business which allowed members to thrive, and to provide a return to shareholders. The turnaround in our business has been delivered through a well-disciplined and executed business plan, supported by both clients and staff alike.
“We have been fastidious in seeking the right partner to help us accelerate our ambitious plans and joining Money Portal, who are clearly at the forefront of the industry allows us the platform to develop through the next stage of development.”