Acquisition of Broadleaf Financial Services

18 September 2019

AFH FINANCIAL GROUP PLC

("AFH" or the "Company")

Acquisition of Broadleaf Financial Services Limited

AFH Financial Group plc (AIM: AFHP), a leading financial planning led wealth management firm, announces it has completed the acquisition of Broadleaf Financial Services Limited ("Broadleaf"), an IFA business based in the Wirral, for a maximum consideration of £3.2 million, subject to performance criteria of Broadleaf during the two year earn out period.

Under the terms of the acquisition, four advisers from Broadleaf will join AFH together with their support staff, bringing their clients and £140 million of Funds Under Management (FUM). The initial consideration for the acquisition is £1.7 million and was paid from existing cash reserves, with the balance payable in cash over a 26-month period. Following the acquisition, John Shaw, principal adviser and Director and one of the founders of Broadleaf, together with his fellow directors, have retired from the business.

Commenting, Alan Hudson, Chief Executive of AFH, said:

"This acquisition follows the recent acquisitions of Mulberry Independent Financial Advisers and AE Garment, bringing the total committed spend to £10.4 million since the Convertible Loan Stock placing in July 2019. The acquisition has been completed on a similar attractive multiple to previous transactions and extends the AFH footprint in the North West of the UK.

"As previously reported, in this period of economic and political uncertainty we remain focused on driving the organic growth of our business by providing professional and cost-effective services to our clients and, in-turn, enhancing profitability. The Company remains well capitalised to take advantage of the previously identified acquisition opportunities and to continue its record of delivering profitable growth and enhanced shareholder value."

Enquiries:

AFH Financial Group PLC 01527 577 775

Alan Hudson, Chief Executive Officer

Paul Wright, Chief Financial Officer

Liberum (Nominated Adviser and Joint Broker) 020 3100 2000

Richard Bootle / Euan Brown / Kane Collings

Shore Capital (Joint Broker) 020 7408 4090

Hugh Morgan / Edward Mansfield / Daniel Bush

Yellow Jersey PR Limited (Financial PR) 077 4884 3871

Felicity Winkles / Joe Burgess / Annabel Atkins

Notes to Editors

AFH Financial Group (AIM: AFHP) is leading UK financial planning-led wealth management firm based in the Midlands. Founded in 1990 by CEO Alan Hudson, the Company provides wealth management and financial advisory services to over 20,000 clients in the UK. These services are delivered by over 450 professional advisers and 400 support staff.