Kingswood H. Regulatory News (KWG)

Kingswood Holdings Limited 

("Kingswood" or the "Group")

Following the announcement today of the completion of Employee Benefit Solutions (EBS), Kingswood announces the acquisition of JCH Investment Management Limited, a leading financial advice firm based in Lincoln

These transactions will boost Kingswood's client facing advisory team to over 110 people and funds under advice/management to over £8bn across both the UK & Ireland

Kingswood Group assets under advice ("AuA") totals over £10 billion from a combination of both global retail and institutional clients matching our ambition to grow globally as an international fully integrated wealth and investment management group

Kingswood Holdings Limited (AIM: KWG), the international, fully integrated wealth and investment management group, is pleased to announce the conditional acquisition of JCH Investment Management Limited ("JCH") a leading financial advice firm based in Lincoln (the "Acquisition"). The Acquisition remains conditional on regulatory approval.

David Lawrence, Kingswood Group CEO, commented:

"As well as announcing our completion of EBS today, I am delighted to announce the acquisition of JCH. Led by John Hebblethwaite, over many years JCH have built deep and enduring relationships with their clients and John and his team have a strong cultural alignment with Kingswood.

"This Acquisition also allows us to consolidate our existing footprint in Lincolnshire and in doing so create a scalable hub from which to grow. On completion, the existing Kingswood team will co-locate with the JCH team in the JCH premises.

"Kingswood continues to be an acquisitive business and has a further five purchase transactions under exclusive due diligence that we expect to close in the coming months."

About JCH

JCH manages clients predominantly across the Lincolnshire area. The team have three advisers and seven employees in total managing over £105m of client assets over 240 clients.

In the year ending 31 July 2022, JCH generated revenue of £901k and profit before tax of £406k. The business will be acquired for total cash consideration of up to £3.5m, payable over a two-year period, £2.1m of which will be paid upon receipt of regulatory approval and the balance paid on a deferred basis which is subject to the achievement of pre-agreed performance targets. 

Consideration

Upon regulatory approval for change of control being received, Kingswood will satisfy the consideration due to the shareholders of JCH through utilisation of its new funding facility announced on 17 October 2022.

John Hebblethwaite JCH commented:

"We are delighted to be joining the Kingswood Group. This is an exciting development for the business, providing additional expertise, capability, and funding to continue our long-term track record of providing a best-in-class service for our clients. Kingswood shares our vision and beliefs of empowering its employees to provide excellent client service and this move gives the perfect outcome for both our clients and team for their future prosperity.

"I spent over two years investigating our options for a possible merger or sale, looking to find a 'partner' that would enable us to take all aspects of our business forward for the benefit of clients and staff alike. I am confident that Kingswood, as a major leading advice business, have the team and culture to be able to do this. We have been very impressed with the depth of quality in their management team.

"This is an important and positive step forward for JCH, as Kingswood share our fundamental ethos on providing an exemplary service to clients first and foremost.

"Their focus on service with great client outcomes, combined with understanding that our team are the heart of the business, giving them the opportunity to thrive and grow, made the decision to join them an easy one."

For further details, please contact:

About Kingswood

Kingswood Holdings Limited (trading as Kingswood) is an AIM-listed (AIM: KWG) international fully integrated wealth management group with circa £9.5 billion of assets under advice and management. It services circa 19k clients from a growing network of offices across the UK with overseas offices in South Africa and the US.

Kingswood offers a range of trusted investment solutions to its clients, which range from private individuals to some of the UK's largest universities and institutions, including investment advice and management, personal and company pensions and wealth planning. Kingswood is focused on building on its position as a leading player in the wealth and investment management market through targeted acquisitions, creating a global business through strategic partnerships.