US-based independent broker-dealer LPL Financial has reached a definitive purchase agreement to buy Boenning & Scattergood’s private client group for an undisclosed sum.
Under the terms of the deal, the acquired will become part of LPL’s employee advisor model, Linsco by LPL Financial, and will continue to retain its brand and operations.
Boenning & Scattergood clients will also become part of LPL’s custodial division.
The deal is expected to be completed by early next year, subject to regulatory approval and other customary closing conditions.
Organised as an asset purchase agreement between the companies, the latest deal represents an expansion of LPL’s employee advisor affiliation model, which started three years back with the purchase of Allen & Company.
Boenning & Scattergood chairman and CEO Harold Scattergood Jr said: “Our family business has a 108-year history of helping our clients build and secure their financial legacies, and LPL is the right partner for us to carry that legacy and our business forward.
“Importantly, LPL took the time to understand our business, our culture and our goals. LPL’s commitment to investing in our wealth management platform will help us to further our capabilities to enrich and grow our support for our clients.”
Based in West Conshohocken, Pennsylvania, US, Boenning & Scattergood employs over 40 financial advisors, who provide services to nearly $5bn of advisory and brokerage assets.
LPL Financial divisional president of business development Rich Steinmeier said: “We welcome Boenning & Scattergood to the LPL family and are proud to be the stewards of this distinguished brand.
“The firm has a long history of making a positive difference in the lives of their clients, employees and the communities they serve.
“As their partner, we can provide an operational model that allows Boenning & Scattergood to focus on client experience and firm growth. They have the freedom to run their business on their terms, with the ability to stay focused on their client relationships.”