John Sykes to take reins of GunnAllen

GunnAllen Financial has a new owner. John H. Sykes, founder and chairman emeritus of Sykes Enterprises Inc., based in Tampa, Fla., will assume the role of chairman of the board of Gunn Allen Holdings Inc., based in Tampa, Fla., the parent of GunnAllen Financial, also based in Tampa, Fla . Mr. Sykes leads the investment group that now has the single largest position in the parent company of the independent broker-dealer which earlier this decade was one of the fastest growing firms in the industry. The size of the investment, which needs to be approved by regulators, has not been disclosed, the company said in a statement issued yesterday. He will assume his new position within 60 days. Mr. Sykes will name four of seven members of the reorganized company's board. Gunn Allen founder Rick Frueh will stay on as a board member and president of the holding company and chief executive of the broker-dealer, GunnAllen Financial. Mr. Frueh said that Mr. Sykes was the only outside investor he recently had spoken to about investing in the firm. “John and I started having conversations probably five or six months ago,” he said. Mr. Frueh said he was looking for a “strategic investor” that could “help pull the organization along.” Mr. Sykes has “a long track record of making successful business selections,” he said. “I think he likes the prospects of the financial services industry.” The new investment “allows us to continue to accelerate growth” in the company’s platform and pursuit of “high quality” financial advisers to GunnAllen’s platform, Mr. Frueh said. GunnAllen currently has 750 affiliated registered reps in its network. Last year, it was the 22nd largest independent-contractor broker-dealer in terms of gross revenue, and reported $151 million in revenue, according to rankings tabulated by InvestmentNews.