Banking

Miami-based Ladenburg Thalmann to buy Tennessee firm

Richard Lampen, president and CEO of Ladenburg Thalmann
Richard Lampen, president and CEO of Ladenburg Thalmann

Miami-based Ladenburg Thalmann Financial Services said Monday that it has agreed to acquire Securities Service Network, an independent broker-dealer, registered investment advisor and insurance agency based in Knoxville, Tennesee.

Ladenburg said it will pay $45 million, including $25 million in cash and $20 million in four-year notes. The purchase is reflects publicly-traded Ladenburg’s ongoing strategy of strengthening its network of independent brokerage and advisory firms and boosting its market share in the industry. Once completed, the deal, along with other pending acquisitions, will boost Ladenburg’s network to 4,000 financial advisors with $125 billion in client assets. Ladenburg said its total revenue will reach $1.1 billion.

Founded in 1983, Securities Service Network has 450 financial advisors, registered representatives and insurance agents, nationwide. When the acquisition is completed, the company’s management team will continue to operate it as a stand-alone business at its current headquarters. The acquisition is expected to be completed by early 2015, Ladenburg said.

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