P2 is backed by Lonsdale Capital Partners (“Lonsdale”), a private equity firm that focuses on the smaller end of the UK mid-market, following a management buyout in December 2016; and this acquisition forms part of their active buy and build growth strategy for the firm. 

Increasing national and international regulation change is placing a challenging compliance burden on financial institutions and their day to day operational activity. For example, in May 2018, the General Data Protection Regulation (“GDPR”) will come into effect, placing greater responsibility on financial institutions to proactively put in place governance measures and report breaches to the relevant supervisory authority. Failure to do so will lead to fines of up to 4% of turnover. Furthermore, by 14 July 2017, UK financial institutions are required to respond to the Bank of England on their plans for Brexit. FS101 helps its clients to strategically and operationally respond to these changes, and the acquisition will enhance P2’s capabilities in this space.

Led by founder Phil Rolfe, FS101 is a specialist consultancy advising blue chip financial service businesses in the UK on how to shape their financial crime and regulatory strategies at time when anti-money laundering, financial crime and regulatory change is becoming increasingly important and they face stringent compliance requirements. 

Since the management buyout in December 2016, P2 has maintained its impressive growth trajectory, which is underpinned by favourable market drivers that include increasing levels of regulatory and government change, digital and technological disruption and M&A activity. P2 has grown its annual turnover through organic growth, with FS101 representing the first step of an active acquisition strategy. 

P2’s CEO Doug Elliott commented: “We have known and worked with the team at FS101 for a number of years and their depth and breadth of knowledge in the financial crime and regulatory sector is unparalleled. We look forward to Phil Rolfe and his team joining P2. Over the past few years anti-money laundering, financial crime and regulatory change has become increasingly important to our clients and following this acquisition, we will be a position to provide them with an even stronger service proposition.”

“This acquisition is also part of the plan to turbo charge our business and comes just three months after our management buyout. With the support of our growth partner Lonsdale and the added expertise and drive of the FS101 team, we are well equipped to fulfil our growth ambitions.”

Phil Rolfe, Director of FS101, commented: “The FS101 team has for a number of years provided a range of specialist Technology, Compliance and Operational support services focussed on AML, Sanctions and broader Financial Crime. We will continue to deliver these as part of the P2 family, where we now have the support and backing of a highly experienced team capable of delivering large scale complex transformations.” 

James Knott, Director at Lonsdale Capital Partners, commented: "FS101’s proposition is very complementary to P2. P2 already has a number of financial services clients and having Phil on board will only further strengthen our proposition in this area. We are keen to make further acquisitions going forwards in this fragmented space, cementing P2 as the go to provider for Programme and Project Management solutions.”