Canaccord is paying a consideration of up to £12.8 million in cash, of which £7.68 million will be payable upon completion and up to £5.12 million after 12 months, subject to revenue retention and revenue mix thresholds. The acquisition is subject to FSA approval.

Based in London, Eden Financial is an independent, owner-managed private client investment management business with £835 million in assets under management on behalf of 2,500 clients .

As part of the payment, further incentives of up to £4.0 million have also been set to reward further revenue growth and meeting revenue mix targets, Canaccord said in a statement today.

Once Eden Financial becomes part of Canaccord’s platform, it is expected that assets under management at Collins Stewart Wealth Management will rise to around £9.0 billion. Globally, on a combined pro-forma basis including assets from Eden Financial, total client assets managed and administered by Canaccord’s wealth management businesses would have been C$27.3 billion as at 30 June 2012.

Eden Financial will initially retain its brand. It is expected that all of Canaccord’s UK, Europe, and offshore wealth management operations will be rebranded to Canaccord Wealth Management in 2013. Upon completion of the acquisition, the regulated entity of Eden will change its legal name to Collins Stewart Wealth Management Limited.