Parent firm of Huddersfield-based SimplyBiz announces two new acquisitions

Fintel said the acquisitions would complement its recent investments and “further strengthen” its product and service proposition.

The announcement comes as Fintel also releases its results for the first half of the year, ending June 30.

Core revenue for the firm increased 1.6 per cent, up to £27.6 million, while core adjusted EBITDA increased to £8.8 million, up from £8.2 million for the same period last year.

Matt Timmins, joint CEO of Fintel plc, said: “We are pleased to report significant strategic progress achieved in the first half of 2023.

“Through a series of successful acquisitions and investments, we have expanded our unique service and technology platform, propelling us towards accelerated growth.

“We are confident that our strategic progress, coupled with strong organic growth drivers, firmly positions us for sustainable growth and ongoing success, as we continue to inspire better outcomes for all.”

The group's acquisition of MICAP was completed earlier this month via subsidiary business Defaqto for an upfront cash consideration of £3 million.

In addition, £1m cash consideration is deferred for 1 year and a £500k contingent earnout is based on certain trading criteria being delivered in the first year of ownership.

MICAP provides independent research and advice tools for tax advantaged investment products.

Fintel said the acquisition will extend Defaqto’s reach into the tax-advantaged market, expanding its data footprint and research capabilities.

The group’s acquisition of Competent Adviser was completed via Fintel IQ, a newly formed technology and knowledge platform.

Also completed earlier this month, the transaction was funded entirely from cash reserves with upfront cash consideration of £2.5m.

Competent Adviser is a dynamic learning platform which aims to enable advisers to meet increasing regulatory competency requirements.

Commenting on the acquisition, Neil Stevens, joint CEO of Fintel, said: “Fintel has worked with Competent Adviser for nearly a decade, and we know how much advisers’ value its simplicity, the flexibility of its modules, and the relevance of its content,

“We selected Competent Adviser as the first investment to be integrated into Fintel IQ – our new regulatory and business support platform – as its ethos and values align perfectly to our own. It will help us to address the vitally important and increasing need of dynamic competency and knowledge management for both advisers and providers.”

Fintel has also announced an inaugural investment in financial technology firm Plannr, through Fintel Labs technology incubator. The firm has taken a 25 per cent equity stake in Plannr Technologies.