Executive search firm Hat Pin has bought international search executive search specialist Alexander Mann Financial Markets (AMFM) for up to £7m.
It will rebrand the business, bought from the Alexander Mann Group (AMG), as Akamai Financial Markets. The deal gives Hat Pin access to markets in Europe and
Asia.
Akamai has 25 search consultants and 17 researchers, of which seven and nine, respectively, are based in
Hong Kong. The deal takes Hat Pin into the market for professionals such as dealers in equities and derivatives. Hat Pin chief executive Angela Campbell-Noe's own background is in this area, having worked for Deutsche Bank, among others. She told Recruiter the firm plans to expand, with new offices in
Singapore and
Tokyo.
The acquisition price, which is partly dependent on performance, is in a mixture of cash and Hat Pin shares. Hat Pin will sell 7.6m new shares at 72p each to raise £5.5m.
Hat Pin has also entered into an agreement with the management and staff of Akamai to pay a deferred bonus of up to £3.5m over a period of three years, ending on 31 December 2010.
Industry sources told Recruiter that a number of companies had looked at acquiring AMFM.
Jerry Collier, AMG's investment banking practice director, told Recruiter: "Over the years, we've decided to put more resources into outsourcing. We've decided that other parts of the company would be better developed by others."
AMG is now left just with Alexander Mann Solutions Business, which mostly trades in recruitment process outsourcing. Clients include companies such as Hewlett Packard and Vodafone.
Private equity firm Advent International owns a majority stake in AMG, which is also said to be up for sale.
Hat Pin, which owns Kendall Tarrant and Saxton Bampfylde Hever, reported a pre-tax profit of £560,000 for the first half of the year, up from £335,000 a year ago. Turnover rose to £6.2m, from £3.5m.
Campbell-Noe said all recent acquisitions were being successfully integrated, including headhunting firm Stolkin Partners, which it bought this year.
