IFA business acquired by main group
Towergate Financial Services will be bought fully into the Towergate group, and chairman Patrick Snowball will stand down.
The IFA business has been hit by the recession, and unable to grow as fast as expected. Towergate carried out a strategic review, which concluded that the best solution for stakeholders was for Towergate Financial Services, the parent company, to fully acquire the business, which it has now done.
TFS will become a new division of Towergate, reporting to chief executive Andy Homer. The business will focus on controlled acquisition growth as the market improves.
Towergate chairman Peter Cullum said: “The original Towergate Financial Services concept - to replicate the Towergate model in the fragmented IFA market - remains as valid as ever but, given current economic conditions, we must scale back the rate of growth. The solution we have announced today safeguards the Towergate Financial Services business and provides the right structure for the future.”
“As a result of the restructuring and modified business plan, we say farewell to Patrick Snowball. I thank him for all he has done for Towergate and wish him the best”.
Patrick Snowball said: “I am sad to be leaving TFS but the time is now right to concentrate on my other business interests. Putting TFS into the TPL structure is the logical way forward, given the different market environment we now face.”
