Stockbroker's deluge of calls.
London-based stockbroking firm Raphael Zorn Hemsley has received an upsurge in enquiries about its bid to consolidate mid-tier firms following exclusive disclosure of the plans in Accountancy Age, writes Lucinda Kemeny. The firm is now on target for a March floatation of its new £50m company that will raise enough capital to unite smaller firms in a single financial services operation. RZH director John Harrison said: ‘There has been a lot of positive reaction and we have had approaches from high-quality practices.’ He added that the company had been in discussion with a number of accountancy firms but that no acquisitions will be made until sufficient capital has been raised. The stockbroker has held talks with at least 30 mid-tier practices and expects billings in excess of £100m shortly after launch of the new vehicle. But RZH will have to compete with other players who are also trying to draw smaller firms together into a larger entity. Jobtel, a mergers and acquisitions broker specialising in smaller accountancy firms, is actively involved in consolidating the profession. It is also understood that professional matchmaker Douglas Llambias may be looking at the possibilities of consolidation but he is waiting to find a suitable model that will allow sufficient return for the firms involved.