According to the Investment News, Securities America, the independent broker-dealer subsidiary of Ameriprise, will be acquired by Ladenburg Thalmann Financial Services Inc. for at least $150 million in cash, according to a statement released by the company this morning.
Ladenburg has been viewed as a leading suitor for Securities America, which has been on the block for several months.
The deal, which will be at least for $150M in cash “in initial consideration” will have the “potential for additional cash payments” if certain performance targets are met by Securities America in 2012 and 2013.
Ladenburg has expressed an interest specifically in expanding through acquisition, but hasn’t bought an independent broker-dealer in three years. It bought Investacorp Inc. in 2007, and purchased Triad Advisors Inc. the following year. Combined, the firms had 1,030 affiliated reps and advisers.
The B-D generated $41 million in revenue during the first quarter of this year.
This information which is publicly available on Investment News’ website has been provided by The White Law Group, LLC.
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