Barclays Private Equity has sold its stake in Momentum Financial Services, a firm of Independent Financial Advisers, to Aegon UK plc. The company was formed two years ago through the buyout of Aon Consulting Financial Services, in which Barclays invested EURO12 million. Tony Hyams and Mark Taylor of Barclays Private Equity managed the investment and report an excellent return.
Part of the Aegon insurance group, Aegon UK is a financial services organisation specialising in pensions, protection and investment markets. The acquisition of Momentum, for an undisclosed sum, is part of Aegon UK’s strategy to build up its distribution in the UK. Momentum will join AEGON UK as part of the new business unit, AEGON UK Distribution Holdings. It also includes Wentworth Rose and Advisory & Brokerage, both of which it acquired earlier this year.
Momentum, based in Hampshire, employs 230 staff including 80 approved advisers, and provides national coverage through nine UK offices. It also has a tele-adviser function, Momentum Direct. By focusing on the corporate market Momentum has achieved significant growth, winning awards for its service to clients including the Financial Adviser award for Large IFA Firm of the Year’ 2002.
Momentum will retain its existing identity and have its own board. Peter Dornan, managing director of AEGON UK Distribution will join the board, Douglas Claisse will remain as non-executive chairman and Paul Johnston will continue as managing director.