Andrew Monk’s Blue Oar investment bank and stockbroker is buying fellow broker Astaire & Partners for £1.67 million.

AIM-quoted Blue Oar, formerly Corporate Synergy, is paying £1.5 million cash and £170,000 in shares at 13p for Astaire, a long-standing entrepreneurial broker with strong links in Singapore and Malaysia and the second London stockbroker to become a full member of the Hong Kong Stock Exchange. Blue Oar, which increased pre-tax profits 46 per cent to £1.9 million last year on revenues 15.5 per cent ahead at £17.2 million, is buying a firm that made £500,000 pre-tax ‘on a normalised basis’ on revenues of £3.1 million.

Monk, chief executive of Blue Oar, argues that Astaire complements his company’s existing business and will enable the enlarged Blue Oar ‘further to strengthen our client base and increase funds under management, as well as broaden our presence internationally. Blue Oar has a clear strategy to create a specialist investment bank with long-term stable earnings, and this acquisition helps in achieving this.’

Floated as Corporate Synergy 12 years ago at 10p, Blue Oar shares hit 35.25p in early 2006, but have since fallen back to 13p, valuing the company at £21.4 million.

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Blue Oar	AIM	£14.99m	9.00p	0.00p
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Blue Oar buys Astaire			02/06/2008
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Showing the door			02/07/2007