The wealth management house is to buy the remaining shares of a UK financial advisory network.

UK-listed Rathbone Brothers has agreed to purchase the remaining 80.1 per cent of Vision Independent Financial Planning and Castle Investment Solutions.

Vision is an independent specialist financial advice network focusing on high net worth private clients. As at 31 August it had £925 million ($1.399 billion) of assets under advice and 78 advisors operating nationally.  Castle operates as a sister company to Vision, providing it with administrative services.

Rathbones purchased a 19.9 per cent stake in the Vision Group for £2 million in October 2012.
 
The acquisition of the remaining stake in the Vision Group is part of Rathbones' strategy of broadening its distribution and accessing a greater share of new business intermediated by financial advisors, Rathbones said in a statement today.

The move also illustrates the kind of strategies wealth management and investment firms are adopting to access to the independent financial advisor market in different ways in the post-Retail Distribution Review environment.

The payment for the remaining 80.1 per cent stake will comprise a payment of £5 million plus the net asset value of the acquired businesses on completion, and further payments between completion and early 2020 of up to £13 million. These further payments depend on the Vision Group meeting growth and operational targets and will be recorded as non-underlying expenses over that period in accordance with IFRS 3: "Business Combinations".  The net asset value will be paid in cash.

All other consideration payments will be made 80 per cent in cash and 20 per cent in new Rathbones shares.  The transaction remains subject to regulatory approval.