Guinness Mahon Trust Corporation, a failed Sipp company, has been purchased by Hartley Pensions, an active buyer of assets from collapsed Sipp firms. The acquisition follows Hartley Pensions’ purchases of the books from Berkeley Burke, Lifetime Sipp Company and GPC Sipp over the past couple of years. Hartley will be purchasing £300m worth of Sipps – a total of 4,000 Sipps that were administered by Guinness Mahon.
A lack of due diligence and “historic high-risk non-standard investments” led the FCA to place Guinness Mahon into administration, with the regulator stating: “Following professional advice sought by GMTC about its liabilities arising from existing and potential claims, the company’s directors were advised that GMTC was insolvent and should be placed into administration to provide protection for the clients and creditors.”
Appointed as administrators were Smith & Williamson’s Nick Meyers and Adam Stephens, who quickly managed to find a buyer for the Sipps firm.
Mr Stephens commented: “We are pleased to confirm the sale of the business to Hartley, which will provide continuity of service to Guinness Mahon Trust Corporation’s clients. The sale followed an extensive marketing exercise, with multiple offers being received. The sale to Hartley corresponded to the best offer being received for the business.”
There should not be any disruption for Guinness Mahon’s previous clients.