Financial services group Ladenburg Thalmann Financial Services Inc. (NYSE: LTS) is buying Securities Service Network Inc. for $25 million.
Securities Service, headquartered in Knoxville, Tennessee, has 450 financial advisers, representatives and insurance agents in the U.S. The firm has $13 billion in client assets and generated $115 million in revenue for the 12 months ended June 30.
The purchase price breaks down to $25 million in cash and $20 million in four-year notes.
The deal helps Ladenburg grow market share. The company says that once the Securities Service deal, plus other pending acquisitions of KMS Financial Services Inc. and assets of Sunset Financial Services Inc., are completed, the company's network will include 4,000 financial advisers with $125 billion in client assets. Ladenburg agreed to buy KMS for $24 million in August.