Tilson to reap rewards of €36m Tilman sale
Published 01/06/2011 | 05:00
THE former head of Goodbody Stockbrokers' private clients division, Ray Tilson, is set for a multimillion euro payday after UK-based financial group Brewin Dolphin yesterday said it has agreed to buy Dublin firm Tilman Asset Management for up to €36m in an all-share deal.
Brewin Dolphin -- whose roots trace back to one of the founders of the London Stock Exchange -- said it will pay an initial €20.5m for Tilman, with an additional €15m payable in December 2014 if certain performance targets are met.
Mr Tilson owns 61pc of Tilman, having left Goodbody in 1995. Goodbody Stockbrokers also initially invested in the business.
Mr Tilson was also one of the original Goodbody partners who sold the business to Allied Irish Banks in 1990 for £20m (€25m). AIB sold Goodbody last year to Kerry-based Fexco for €24m. Tilman recently poached a senior Goodbody fund manager to join its team.
Management at Tilman, including Matt Minch and Conor Grimley, own a combined 75.5pc of the company. They, along with Mr Tilson, will remain directors at the firm, which will be renamed Tilman Brewin Dolphin. Brewin Dolphin manages £25bn (€28.5bn) of funds for 130,000 private clients.
Certain shareholders, including management, have agreed to lock-in arrangements whereby 50pc of the Brewin Dolphin shares they receive will be held in a nominee account for two years.
Tilman currently manages €917m worth of assets and employs six fund managers and 10 support staff.
About 70pc of its funds are managed on a discretionary basis, while just 10pc of its funds are invested in Ireland.
Speaking to the Irish Independent, Brewin Dolphin executive chairman Jamie Matheson said he was "absolutely thrilled" with the acquisition, while Ray Tilson said it represented an "exciting new chapter" in the history of Tilman.
In the year to the end of last March, the firm's turnover was €5.4m and it posted a pre-tax profit of €1.5m. After-tax profit was €1.3m.