The Florida-based broker-dealer Newbridge Securities Corporation, along with its affiliated investment advice firm Newbridge Financial Services Group, has been acquired by European Wealth.
The acquisition is being anticipated with considerable optimism by European Wealth bosses, who are looking forward to gaining direct access in forty-nine out of fifty US states and growing their assets under management to £3bn – an increase of 100 per cent. Newbridge, with a license to operate in every US state except Maine, has 12,000 clients and over 220 advisers and associates.
As European Wealth is now extending its reach outside of Europe, the directors feel that rebranding is necessary; depending on shareholder approval, the firm intends to change its name to Kingswood.
European Wealth’s chief executive Marianne Ismail, said:
“This is our first key step to deliver a profitable and differentiated strategy in the financial services arena.
“We anticipate following this deal with further exciting accretive acquisitions in the future, strengthening our position in major international markets, product offering and AUM.
“Newbridge presents a unique opportunity to invest in an established, well-positioned and nationally represented company.
“It significantly increases our global footprint by gaining immediate access to the largest wealth management market in the world, which we intend to build and scale substantially.”
The acquisition is forecasted to be finalised in either late 2017 or early 2017, subject to approval by the Financial Industry Regulatory Authority, the US regulator of broker-dealers.
Chief executive of Newbridge, Leonard Sokolow, will remain in the management team and is looking forward to the transition of managing a nationwide firm to a multinational firm:
“We believe that the proposed combination of our two businesses represents an exciting opportunity to grow a truly global business, focused on delivering innovative products to our clients.
“EWG benefits from supportive shareholders and, with their backing, we can aim to rapidly build our product offering and global footprint, and ultimately, enhance our returns to shareholders.”
