Chief executive Ivan Martin says, under the proposals, the Bankhall and PMS brands would be retained, with Bankhall used to drive forward the support service offering. He would not comment on the offer price although it is claimed it may be just £1. An update is expected within six weeks.
Martin says: “In any combined business, Bankhall would cont-inue to operate with its own staff and distinct propositions. We believe strongly that networks will benefit from RDR changes proposed and we are committed to maintaining and growing our networks under the Sesame brand.”
Bankhall managing director of IFA services David Golder says the deal would give the firm the scale needed to maximise the support for members in changing times.
Skandia chief development officer Peter Mann says: “I believe that for Bankhall members and staff there is a strong future in aligning with Sesame.”
PMS managing director John Malone says: “I have no plans to retire and spend time at home looking at my roses.”
He adds: “PMS has been very successful with the number of personnel that we have in place and there is no way that I believe that any change in that structure should take place because of the announcements made today.”
Paradigm Partners chief executive and Bankhall founder Paul Hogarth says: “It is sad to see a strong business get to such a weak point. The value of Bankhall had been written down consistently within the group accounts of Skandia and Old Mutual. I was reliably told that the indicative offer is £1.”
Sesame says the combined businesses would create a network of 3,000 appointed representatives and 1,500 directly authorised firms plus the UK’s biggest mortgage distributor.