Shares in Property Franchise Group soar after announcement of new business division

Shares in The Property Franchise Group climbed yesterday after it announced that it has launched a new financial services division.

The group said that it will pursue a ‘buy and build’ strategy to develop the new division, acquiring financial services businesses.

The new division will be a subsidiary of the group and will service the franchisees.

As part of this new strategy and to “seed” the division TPFG has acquired a 72.25% stake in Auxilium Partnership, a protection advisory business, for what it described as a “non-material” sum.

Auxilium Partnership was launched by Mark Graves in March last year with the aim of encouraging intermediaries such as mortgage brokers to develop their protection business, making it a core part of every mortgage and finance recommendation.

Graves will head up TPFG’s new division as financial services director, a non-board position.

Graves has 20 years’ experience at a senior level in the life assurance sector, with roles including managing director at Sesame Bankhall Group, head of network at Pink Network, and managing director at Linear Financial Services.

The new division is designed to enable TPFG franchisees to generate further revenue.

It is also TPFG’s intention to make financial services available as a new franchise opportunity, with the group holding the master franchise rights and delivering to its franchisees a separate financial services brand, back office systems, a supply of ‘whole of market’ mortgage products, and a compliance function.

CEO Ian Wilson said: “We are delighted to welcome Mark to the group as financial services director.

“His industry credentials are top drawer, and he has both the contacts and commercial acumen to help us identify the winners as we scale our broker network.

“With the knowledge that protection assurance sales are key in bringing about improved operating margins for brokers, we are very pleased to have a protection advisory business joining us as our first financial services acquisition.”

Yesterday, shares in TPFG rose to an all-time high of 217p before closing almost 6% up at 213p.

Rival Belvoir’s shares have also been hitting highs.

Shares in the firm, which acquired Brook Financial Services in 2017 and a Mortgage Advice Bureau business in 2018, yesterday reached a record 154p, closing at 152p.

 

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6 Comments

  1. Hillofwad71

    Yes The Boris Bounce has certainly  set the shares alight. Meanwhile the first casualty of the year at Ewemove as the Reading franchise  quietly slips off the map

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    1. James W

      The troll is back! 

      From afar it would appear your fascination with EweMove has become obsession and perhaps an unhealthy one. I really can’t understand it, you must have some personal beef with TPFG, were you declined a EweMove franchise?

      TPFG share price is at an all-time high and markedly shot up once the announcement of the acquisition and appointment of an FSD had been made to the city. How about credit where it is due, “Boris Bounce” is unfair and I’m sure you know that. TPFG may not always get it right, but clearly, they are progressive, ambitious and looking to drive revenue for their shareholders and their Franchisee’s. That’s what they should be doing right?

       

       

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      1. Hillofwad71

        TPFG  are doing very well indeed  but if you think the staggering  number of Ewemove failures  is a fair price to  pay over 50 ,  bully for you. The forgotten collateral damage

        No signs of any abatement

         

        Another one SLOUGH has bit the dust

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    2. BigVillan

      Here he goes again, the troll with his one sided assault on our business. Boring. Once again bringing EweMove into any news story to make his continued attack. No mention of the 4 new franchisees launching this year already, his one sided assault is bordering on defamation but you keep allowing it PIE. There are hundreds of individuals involved in EweMove affected by these incessant attacks, many of whom I met at the National meeting yesterday filled with optimism and proud of their achievements in what was a very difficult 2019. There are many reasons for people taking a EweMove franchise and many reasons for some of those to leave and a balance sheet isn’t going to  give the full story.  When will you do something about this troll PIE?

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      1. Industry insider

        If posters explain when branches close, open, fail, succeed, etc, then that is appropriate.

        Otherwise this site becomes just PR with no insight behind press releases.

        Just my view and I’ve no allegiance to either side on this but do believe in open debate.

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  2. Hillofwad71

    Big Villain   I understand your indignation.. I would be more frustrated at the failure of senior management to address the number of franchises disappearing off the map leaving  gaping holes in  the major conurbations such as  Birmingham Manchester and Wales.
     
    Franchisees working damn hard in a challenging market doing the best they can trying to me  a living  Some doing very well indeed and well done
     
      However you are shooting the messenger . You are trying to defend the indefensible. Something is going very wrong indeed  when over 50 franchisees have slipped off the map It’s unprecedented . This is not defamation it’s factual This is not happening elsewhere,It doesn’t seem to have abated.
     
    Do you want the list?  
     
    Having that amount of slippage doesn’t reflect well on all the existing franchisees You need to direct your fury more appropriately . Sure as is the way of all flesh personal  circumstances intervene which sometimes makes keeping a franchise going impossible  However that would only be in a small number of cases and doesn’t account for the huge numbers .
     
      Franchisees were led to believe in the pitch if that was the case they would at least have something valuable to sell onto a fresh applicant . That doesnt seem to be tthe case with gaping holes appearing in the network  
     
    Sounds very much that the whole recruitment  and franchisee management needs reapprasing.  Its simply not accepetable letting franchisees wither on the vine with unsutainable debts and insuffcent  instructions to service them  .
     
    There is a situation where one of the franchisees who  was recruited in 2017   still operational according to the branch directory but with  0 instructions since Feb 2019  How is he surviving ? 
     
    He was recruited  in 2017 whilst still under a court  restraining  order taken out in 2016 for stalking  splashed over the local press  and you wonder why he has made no traction. Where was the due diligence in the recruitment?  

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