Another independent broker-dealer is being acquired.
Chicago-based brokersXpress Inc. has agreed to buy Horwitz & Associates Inc., an independent broker-dealer and investment adviser based in Riverwoods, Ill.
This summer saw a flurry of acquisitions among independent broker-dealers, with at least five deals being announced.
Since the stock market collapsed last month, the mergers and acquisitions market has apparently quieted down.
Three broker-dealers in the AIG Advisor Group Inc. of New York remain on the block, either as part of a larger deal or as a standalone.
BrokersXpress, which focuses on representatives and advisers who trade options, said on Tuesday that it is paying $4 million in cash and additional consideration based on future performance for Horwitz & Associates.
The acquisition brings “a wealth of experience” to brokersXpress, said Barry Metzger, its chief executive, who noted that Horwitz & Associates has been in the business for 40 years and is run by the Horwitz family.
The firm has 28 reps and financial advisers, 4,000 accounts and about $1 billion in client assets, he said, adding that the deal is subject to approval by regulators.
BrokersXpress is a unit of optionsXpress Holdings Inc., also of Chicago, and was launched in 2004.
It has about 300 affiliated reps and advisers and last year produced slightly less than $17 million in fees and commissions.
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