Intrinsic set to buy Positive Solutions

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Intrinsic is set to buy adviser business Positive Solutions from Aegon, Fundweb sister publication Money Marketing can reveal.

Money Marketing understands that PosSol staff and its 850 advisers could be informed of the deal today.

Aegon bought a 60 per cent stake in PosSol in 2002 from chief executive David Harrison and bought out the remaining 40 per cent in 2005 from staff, directors and IFAs in a deal that valued the company at £163m.

The Aegon distribution arm, which includes Origen, Positive Solutions and a 20 per cent stake in Tenet, posted a combined loss of £2m for 2012.

Origen and PosSol made a combined loss of £6m in 2011 and lost £5m in 2010.

Intrinsic posted a £5.2m profit for 2012, up 62 per cent from £3.2m in 2011. The network also set aside over £2m in relation to expected complaint settlements, compared to a provision of just over £1m in 2011.

Last July Intrinsic went through a capital restructure which saw the firm’s management buy out shareholder Lloyds Banking Group. As part of the deal, other major shareholders Sanlam and Friends Life, as well as Intrinsic management, agreed to waive six years worth of dividend payouts thought to be worth around £20m.

Intrinsic bought IFA network MInt in 2008 to give the firm an independent arm and took on national IFA Ashley Law in 2009.

Aegon declined to comment.