Schorsch buys independent broker-dealer J.P. Turner in second deal this week

Deal comes in wake of blockbuster $1.15B acquisition Thursday of Cetera Financial. RCS Capital chairman Nicholas Schorsch <a href="//www.investmentnews.com/article/20140116/FREE/140119918&quot;" target="&quot;_blank&quot;" rel="noopener noreferrer">compared his burgeoning broker-dealer network to the old Merrill and Raymond James</a>.
FEB 05, 2014
Nicholas Schorsch is leaving no stone unturned in the independent broker-dealer marketplace. A day after announcing that RCS Capital Corp., of which he is chairman, intended to pay $1.15 billion for the giant Cetera Financial Group Inc., the firm said Friday it was buying midsize independent broker-dealer J.P. Turner & Co. for $27 million in cash and stock. The pending acquisition of J.P. Turner pushes the Schorsch network of broker-dealers to about 9,300 registered reps and financial advisers, once all pending acquisitions are completed. J.P. Turner has about 325 affiliated reps who control $4.3 billion in assets under management. The firm produced $66.3 million in revenue in 2012, according to InvestmentNews data for the last year available. That contrasts sharply with the 6,600 reps and advisers affiliated reps at the four Cetera broker-dealers who control about $145 billion in assets under management. The acquisition will be funded from RCS Capital stock and cash from working capital, according to an investor presentation. In an interview with InvestmentNews on Thursday, Mr. Schorsch likened his burgeoning network to the old Merrill Lynch & Co. Inc. or Raymond James Financial Inc.

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