July 18, 2012
--- National
Financial Partners Corp. (NFP), a provider of benefits, insurance and wealth
management services, acquired Fusion
Advisor Network, a practice management and consultant to advisers. ---
Fusion
will be integrated into the NFP Advisor Services Group, helping to further link
service and technology into a platform for independent financial advisers. The
transaction became effective earlier this month.
Fusion
has a track record of helping independent financial advisers build practices
and has always leveraged NFP Advisor Services Group as its sole provider of
broker/dealer and registered investment advisor (RIA) solutions. Fusion, in
Elmsford, New York, represents a national network including more than 240 advisers.
Stuart Silverman, who founded the company in 2003, will remain with Fusion as chairman
emeritus.
Fusion
advisers generated more than $60 million in revenue during 2011, the majority
of which was recurring revenue. NFP’s revenue will not be impacted by this
acquisition because revenue generated by Fusion advisers has historically been
included in NFP Advisor Services Group’s revenue. In 2013, the first full year
of operations post-transaction, it is expected that NFP Advisor Services Group’s
adjusted earnings before interest, taxes, depreciation and amortization (EBITDA)
margins will improve in the range of 75 to 100 basis points from this
acquisition.
Jill Cornfield