LSL Property Services plc (LSL) has acquired Personal Touch Financial Services Limited (PTFS) and its subsidiary company, Personal Touch Administration Services Limited (PTAS) from Personal Touch Holdings Limited.
It is paying £4.8m plus an acquired intercompany debt of £0.6m and is made up of a payment of £2.8m which is due on completion and a further payment of £2.0m which is deferred for 12 months.
The acquisition is being funded from LSL’s existing banking facilities.
PTFS currently has 200 appointed representative firms and 474 advisers. In 2017, the PTFS network of advisers arranged £5.1bn of mortgages. PTAS owns and operates the Toolbox software system, which is the operating system used by all PTFS appointed representatives.
PTFS and PTAS reported aggregate losses before tax of £0.1m for the year ended 31 December 2016, at which date they had aggregate gross assets of £20.3m.
Ian Crabb, group chief executive of LSL, said: “This acquisition supports LSL’s stated strategy of enhancing its position as a leading mortgage distributor and growing long-term profitability in the provision of residential property services in the UK by identifying value enhancing opportunities.
“LSL has deep sector expertise in the provision of financial services and PTFS is an excellent fit with our existing financial services businesses.”