Financial Planning firm Tavistock Investments has acquired Precise Protect, an insurance and protection business based in Bangor, Northern Ireland, for £7m.

Precise Protect has more than 200 advisers working with more than 37,000 UK clients, with an average age of under 40.

Following the deal, the Tavistock group will have more than 400 advisers and other business introducers looking after more than 110,000 private clients.

Assets under management and advice now top £5bn and Tavistock has 350 corporate and affinity clients with some 16,000 employees.

The group is going through a period of transition as it focuses on the development of its commercial operating model.

It is also replacing the contribution from its investment management business which was sold to Titan Wealth Holdings in August 2021.

Tavistock said the acquisition of Precise Protect was the first significant move in the next phase of Tavistock’s growth plan.

It said integrating Precise into the Tavistock group, “will provide opportunities for operational cost savings such as software, systems and regulatory oversight.”

Brian Raven, Tavistock’s chief executive, said: “We look forward to benefitting from numerous synergies, including operational cost savings, increased profitability and new business leads.”

In the year ended 31 October 2022, Precise Protect reported a profit before taxation of £1.45m on turnover of £6.5m and net assets of £1.23m.

Of the £7m being paid for Precise Protect, £250,000 is to be settled through the issue of shares.

The remaining balance will be paid in cash from the company's existing resources and by drawing down from an acquisition debt facility provided by the Bank of Ireland.

A total of £2.75m is being paid on completion, while the balance will be met through three annual instalments linked to performance.