Wealth manager Fairstone Group is set to acquire more than 20 companies by the end of the year, driven by its established Downstream Buy-Out (DBO) model. The Sunderland-based firm has already added eight businesses in the first quarter of the year, expanding its geographic footprint across the UK.
First Quarter Acquisitions
The acquisitions include firms from Northern Scotland, Northern Ireland, the South of England, the West Country, the East Midlands, and the North East. Notably, Fairstone completed its largest purchase to date in February, acquiring Prosperity Wealth, a West Midlands wealth management and corporate financial planning specialist.
All eight firms joined Fairstone via the DBO model, collectively bringing over £2 billion in client assets under management into the group. The DBO model sees Fairstone act as an investment partner, providing centralized resources, technology, and capital to support growth before a future sale.
Future Plans
Directors have confirmed that 13 more full acquisitions will be made later this year. Fairstone CEO Steven Cooper said: "I said in January that I expected a busy first full year as CEO and that has certainly been the case so far. In just the first quarter, we have added substantially to the business, not only in terms of client assets under management, but also in terms of our strategic presence and the depth of services we can offer."
Cooper highlighted the benefits of the Prosperity acquisition, which added expertise in corporate financial planning and employee benefits. "Every one of the eight firms brings something new to the business and strengthens the group as we help more people achieve their financial goals," he added.
Integration and Growth
The eight firms initially joined the DBO programme between two and four years ago, allowing for full integration of staff and processes before becoming part of the group. Fairstone now operates from over 50 locations, employing more than 1,350 operational staff and regulated advisers. It oversees £23 billion in assets under management on behalf of over 125,000 clients.
