Monetary Planner Tavistock has offered its hybrid digital app enterprise LEBC Hummingbird again to a wholly-owned subsidiary of unique proprietor LEBC Holdings Restricted for £3m.
Hummingbird shall be acquired by LEBC subsidiary Aspira Company Options.
Tavistock acquired LEBC Hummingbird in Might for £3m from retirement adviser LEBC.
Hummingbird was launched in 2019 with the intention of serving to particular person traders to avoid wasting and finances through an app. It’s an unregulated enterprise that permits customers to trace their financial savings and investments on an app after which search regulated recommendation from advisers, in the event that they want it. It’s a hybrid recommendation style-app developed along side Moneyhub.
In January Tavistock purchased a 21% stake in LEBC stake from the founder’s widow for £10m. LEBC had struggled for the reason that surprising loss of life of its CEO and founder, Chartered Monetary Planner Jack McVitie, 57, in 2020 after a brief sickness.
LEBC reported a loss final yr of £232,000.
On 3 Might 2022, Tavistock introduced that it had acquired consent from the FCA for the corporate to turn into a controller of LEBC.
Tavistock says its board has labored carefully with the administration of LEBC to maximise the worth of its funding in LEBC for each units of shareholders. As part of the preparations, Tavistock agreed to accumulate Hummingbird from LEBC to offer that firm with extra working capital, Tavistock mentioned.
Nonetheless, as a substitute supply of working capital has been subsequently recognized for LEBC Group Restricted, Tavistock has agreed to promote Hummingbird again to LEBC’s Aspira on the identical phrases as these on which it had been purchased in Might.
Hummingbird’s accounts for the yr ended 30 September 2021 present that the corporate achieved gross revenues of £0.61 million, revenue earlier than tax of £0.43 million and had gross belongings of £0.13 million as at 30 September 2021. Tavistock has acquired roughly 6 months contribution from Hummingbird to the group’s outcomes for the yr ending 31 March 2023.