The private equity acquisition of SIPPs and Financial Planning firm Mattioli Woods has been delayed by a month due to delays getting approval by the Government due to national security.

Private equity firm Pollen Street Capital set up acquisition vehicle Tiger Bidco to acquire Mattioli Woods for £432m in cash.

Under the deal, Pollen's Tiger Bidco will pay 804p in cash for Mattioli Woods shares.

The acquisition was expected to complete in August but has now been delayed until September.

The National Security and Investment (NS&I) Act allows the Government to scrutinise and intervene in certain acquisitions made by anyone, including businesses and investors, that could affect the UK’s national security.

This includes the acquisition of any financial services firm which is deemed to be a ‘critical supplier’ to any arm of the Government.

Whether notification is required to be made by the acquirer to the Government is decided by legal counsel as part of the acquisition process.

Under the NS&I Act, the acquisition cannot complete until it is given permission by the Secretary of State.

The deal was given FCA regulatory approval on 1 July.

Before the deal can complete, the Court must also sanction the Scheme of Arrangement at the Court Sanction Hearing and deliver a copy of the Court Order to the Registrar of Companies.

On 25 April, the scheme was approved by the requisite majorities of scheme shareholders and Mattioli Woods shareholders at a general meeting.

Mattioli Woods has acquired several firms in recent years itself, including a number of Financial Planning firms.

Pollen Street Capital has also made a number of acquisitions in the financial services sector and owns expanding wealth manager and Financial Planner Kingswood.