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Corporate & Securities Law

: FinancialCounsel

Ameriprise To Buy H&R Block Financial Advisory Unit

By James Eccleston

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Ameriprise Financial, the wealth management firm spun off by American Express, will buy H&R Block's financial advisory service for $315 million to expand in Florida, Texas and California.

Ameriprise expects the transaction to be completed within six months and start adding to earnings in early 2010.  The purchase is the second announced in two months by Ameriprise, which is focused on expanding its investment and money-management services.  The H&R Block deal adds 376,000 clients with $30 billion in assets.  Ameriprise agreed last month to buy J&W Seligman & Co. for $440 million to bolster its hedge-fund business.

"The acquisition of H&R Block Financial Advisors reinforces our growth strategy and underscores the strength of our financial position," said Ameriprise Chief Executive Officer Jim Cracchiolo in the statement.

Source:  Bloomberg

Full post as published by FinancialCounsel on August 14, 2008 (boomark / email).

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