AFHP.L Share News (AFHP)

(Sharecast News) - Financial planner AFH Financial has completed the largest purchase in its 27-year history, acquiring Yorkshire-based wealth management and investments outfit CTL Three for a total of £10m.As a result of the transaction, which will also see AFH absorb CTL subsidiaries The Insurance Partnership, PCWM, IFA Professional Planning, Private Client Wealth Management and Kirk Ella Investments, the firm will pick up more £530m of funds under management and "significantly" expand its presence in the North East.The deal will lift AFH's funds under management above £5bn.AFH will make an initial cash consideration of £4.2m, funded from its existing cash resources, and issue 26,178 new ordinary shares worth 382p each to CTL's Paul HodgsonFor the twelve months ended 30 June, CTL posted revenues of £4.7m and a pre-tax profit of £1.1m.Chief executive Alan Hudson, said: "At the start of the 2017 financial year, the board set itself three medium-term financial aspirations: funds under management of greater than £5bn, revenues of £75m per annum and underlying EBITDA margin of 20% on revenue."Having ticket off one of those, he said the board was "confident" of achieving the remaining targets.As of 0850 GMT, AFH shares had inched forward 0.26% to 384p.