Stanley in £7.7m deal for Torrie

PRIVATE-client stockbroker Charles Stanley has bought Scotland's last remaining independent stockbroking partnership, Torrie & Co of Edinburgh, for up to £7.75m.

It also expects to make further purchases as the stockbroking industry reels under the double whammy of the economic downturn and a growing burden of regulation from the Financial Services Authority. Charles Stanley will merge its online broking system XEST with Torrie's FasTrade under the latter brand and this will create one of the largest internet brokers in the country.

Stanley's pre-tax profits tumbled from £7.2m to £4.2m in the six months to the end of September, although this was some £200,000 better than it estimated only last month. Turnover fell 23% to £27m. The interim dividend is raised by a third to 1p a share.