Davy to acquire Bloxham division

Davy Stockbrokers is set to acquire the private client business of Bloxham Stockbrokers for an undisclosed sum.

The two companies announced yesterday evening they had reached agreement over the transaction which is likely to be concluded in May.

Davy said that it is envisaged that, following close of business on Friday, May 11, Bloxham’s private client division will move to Davy’s Dublin and Cork offices, with Bloxham’s Limerick office being managed under the Davy banner.

Bloxham has been looking to offload its private client division in order to focus on its asset management, institutional bond and institutional equity businesses. Its private client division generated revenues of around €6.5m last year, a figure near which Davy is likely to pay for the business, and it has assets under management of €540m.

The division is about 10%-15% smaller in scale than the comparable division within Davy. Davy has been investing heavily in recent years on various internal improvements in aspects like research and IT, as well as the opening of a London office.

Brian McKiernan, head of Davy’s private client business, said that his firm “will look to build on the good relationships that have been established” by “a quality business”.

Bloxham’s private client business employs 27 people, who will transfer to Davy after the conclusion of the deal.

“We have been highly selective in choosing a firm that has the requisite financial and regulatory resources and infrastructure to meet the evolving needs of clients in the years ahead,” Bloxham Stockbrokers’ managing director Pramit Ghose added.