Shareholders in wealth manager and Financial Planner Tavistock Investments have voted at a general meeting in favour of selling the firm's multi-asset arm, Tavistock Wealth Limited, to Titan Wealth Holdings for £40m plus an earn-out.

Tavistock Investments reported today that 56.33% of shareholders (342.4m shares) supported the sale with only 30 shares cast agains the deal which had received opposition from some shareholders earlier in the process.

The company said it was pleased with the results of the vote to approve the disposal of Tavistock Wealth Limited (TWL) and to grant authority for the company to make market purchases of its own shares.

In June Tavistock Investments announced a 10-year strategic partnership with Titan which will see Titan acquire TWL for up to £40m in cash, together with a ten-year earn out.

The disposal of TWL will complete once Titan has received change in control approval from the FCA.  The company says a further announcement will be made once approval has been received. 

Brian Raven, chief executive of Tavistock, said: "The strategic partnership with Titan will enable us to accelerate the growth of our wealth management business both organically and through an acquisition programme, endorsing our corporate strategy. I am pleased that shareholders have recognised the opportunity presented by the deal, enabling us to deliver them greater value."

Titan Wealth is a new investment firm co-founded recently by Andrew Fearon, a key figure at rapidly growing Financial Planning group Independent Wealth Planners (IWP).

Mr Fearon is a founder shareholder and director of IWP where he is responsible for M&A.

Earlier this year Tavistock rejected an ‘unwelcome’ takeover bid from a Jersey-based investment firm called TEAM, which was believed to have some backing from ex-employees.

Tavistock Investments includes an advisory network, mostly focused on Financial Planning, a Centralised Investment Proposition and a small Direct to Consumer arm which uses an app.

Under the terms of the deal, Tavistock will act as Titan’s “retail distribution partner.” Tavistock says it hopes the partnership will enable it to expand its wealth management faster, both organically and through acquisitions.

Titan will acquire Tavistock Wealth for up to £40m with £20m paid on completion of the deal, with a further £20m paid in equal annual instalments over the following 3 years, linked to the maintenance of Tavistock Wealth's revenues.