Nucleus Financial Group PLC (LON:NUC) has agreed to be bought by pensions specialist James Hay in a deal that values the IFA platform at around £142mln.
Sanlam Group, Nucleus’ largest shareholder, has accepted the offer and alongside directors also backing the deal gives Hay acceptances from around 56% of shareholders.
The price of 188p per share is a premium of almost 40% from the announcement in December that talks were underway.
David Ferguson, Nucleus’s chief executive, said: “Becoming part of this enlarged group gives us a key role in a much bigger story where we can create a leading independent platform of scale with a high tech, high touch proposition and philosophy.”
Richard Rowney, CEO of the James Hay Group added: "We are excited to be announcing the acquisition of Nucleus, which on completion will create a leading, independent, adviser platform, with c£45 billion of AUA.
“The two businesses have complementary areas of expertise and common beliefs about the importance of independence and only serving the adviser market.“
IntegraFin, another IFA platform, was also said to be interested in a possible deal in December, but private equity-backed James Hay looks to have won out.
Peel Hunt notes that under the scheme of arrangement, the deal must be voted for by 75% of shareholders. The scheme is expected to become effective in the second quarter of 2021.