Acquisition

Mattioli Woods plc

("Mattioli Woods" or "the Company")

Acquisition of CP Pensions

Mattioli Woods plc (AIM: MTW.L), the specialist pensions consultancy, announces that on 30 April 2010 it acquired the trade and assets of the pension administration and employee benefits businesses of Cooper Parry Wealth Strategies Limited ("Cooper Parry") (together "CP Pensions") for a total consideration of up to £1.175 million, subject to certain revenue and client retention targets being met during the two years following completion.

CP Pensions provides pensions consultancy and administration services to an active portfolio of 239 self-invested personal pension ("SIPP") clients and 51 small self-administered pension schemes ("SSAS"), with total funds under trusteeship of over £110 million. CP Pensions also provides employee benefits services to 30 corporate clients.

CP Pensions' experienced team of six administration staff will be retained by Mattioli Woods and relocate to its Leicester office following the acquisition.

On 30 April 2010 the Company also entered into separate agreements to acquire the entire issued share capital of Cooper Parry SIPP Trustees Limited and Cooper Parry SSAS Trustees Limited (together "the Trustee Companies") for a nominal consideration. The Trustee Companies act as trustees to the pension schemes, have never traded and have negligible net assets in aggregate.

The total consideration consists of an initial payment of £0.575 million funded from the Company's existing cash resources and deferred consideration of up to £0.60 million, of which £0.30 million will be paid in the two years following completion, with the remaining payment of up to £0.30 million being determined with reference to an earn-out mechanism based on revenues generated during the two years following completion.

CP Pensions generated revenues of £0.43 million in the year ended 30 April 2010. The acquisition is expected to be earnings enhancing in the first full year of ownership.

Commenting on the acquisition, Bob Woods, Executive Chairman of Mattioli Woods, said:

"I am delighted to announce our acquisition of CP Pensions. Cooper Parry is a highly-regarded independent business advisory firm with operations in the Midlands and London. In common with Mattioli Woods, Cooper Parry is focused on attracting clients who require bespoke personal service and specialist advice.

"In addition to enhancing the administration of clients' schemes using our bespoke pension administration platform, the acquisition gives us the opportunity to develop the client offering through our consultancy initiatives and the alternative investment vehicles we have developed in response to existing clients' demands, such as the syndicated property initiative and capital-guaranteed bond programme.

"The acquisition of CP Pensions' employee benefits business adds further scale to Mattioli Woods' existing employee benefits and group scheme operation. The transaction also facilitates the development of a closer, ongoing relationship with Cooper Parry.

"Mattioli Woods is renowned for its technical excellence, as recently evidenced by our appointment as agent to PricewaterhouseCoopers in its capacity as liquidator of the Freedom SIPP Limited. We expect demand for bespoke pensions consultancy and administration in the SSAS and SIPP market to continue to grow. Expanding our presence by acquisition continues to be an important element of our strategy to capitalise on this."

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About Mattioli Woods:

Mattioli Woods is one of the UK's leading and fastest growing providers of specialist pension consultancy and retirement wealth management. Its core services and advice are targeted towards the higher end of the market including controlling directors, professionals, owner-managed businesses and small to medium-sized PLCs.

Mattioli Woods has a focus on providing the highest level of personal advice, maintaining very close relationships with all its clients. The strength of its personal relationships has led to high levels of client satisfaction, retention and referrals.

For more information visit www.mattioli-woods.com 

About Cooper Parry:

Cooper Parry is one of the largest independent firms of business advisers in the Midlands with an established track record of helping local businesses and private clients. They offer a broad spectrum of professional business services, up-to-the-minute technical expertise and personal advice to help businesses and individuals grow, protect and realise their business and personal aspirations.