Tenet is to acquire all Merchant House advisers in a move which will see the advisers join Tenet appointed representative firm Aspire Financial Management.
The move sees around 70 advisers join Aspire. Merchant House had been an appointed representative of Tenet since 2011.
Tenet says it has also acquired certain business assets of MHFS.
Tenet managing director Mike O’Brien says: “This is not the first time we have provided this type of support and it demonstrates one of the major benefits of being part of a well-established and financially-secure network. Income streams are protected and there is no threat of the FSCS becoming involved in any claims.”
Merchant House Group cancelled trading on the Alternative Investment Market in November after the company failed to raise sufficient funding.
In February it emerged Tenet had taken out a debenture against Merchant House Group’s IFA arm Merchant House Financial Services, which continues to trade. Outgoing Tenet distribution and development director Keith Richards said at the time the charge relates to a historic business development loan, and that given the issues at parent company Merchant House Group it made sense to formalise the loan.”