Private equity firm Oakley Capital is looking to sell national IFA firm Broadstone Pensions and Investments, with Towry a potential buyer for the business.
Broadstone was rebranded from BDO Investment Management in May 2011, having been acquired by Oakley in November 2010.
Oakley is now seeking to sell the business and Money Marketing sister title Fundweb understands that it has spoken to Towry about a possible sale. Towry is owned by private equity firm Palamon Capital Partners. Other private equity firms are also said to be in talks over a deal.
Broadstone Pensions and Investments has 27 consultants with over 1,500 clients. It has total assets of around £862m between its advisory and discretionary wealth management arms.
A Broadstone spokeswoman says: “A sale will take place at some point but it is not clear when. Being private equity owned, there are always ongoing discussions taking place.”
Towry declined to comment.
Neil Woodford’s new venture, Woodford Investment Management, had been affiliated to Oakley and used the firm’s investment infrastructure to establish itself as a standalone investment boutique before cutting ties last month.
The overarching Broadstone Group comprises the national and discretionary wealth management arms alongside Broadstone Corporate Benefits, which manages around £2.1bn of employee benefits assets.
In June 2012, Broadstone Pensions and Investments announced that it had agreed to launch a white-labelled platform on SEI technology.
In March, Towry announced a refinancing agreement to reduce the cost of its capital and fund future acquisition deals. It announced the deal with GE Capital, HSBC and RBS as it posted a pre-tax profit of £9.8m for 2013, up 4 per cent from 2012.
In April, Towry appointed former Prudential UK chief executive Rob Devey as its new chief executive, replacing the departing Andrew Fisher. This month, former Northern Rock and Phoenix Group chairman Ron Sandler will take over as chairman of Towry.