Legg Mason unit buys brokerage BFP's deal for Equity brings link to Midwest

August 30, 1996|By Bill Atkinson | Bill Atkinson,SUN STAFF

A Legg Mason Inc. subsidiary that sells brokerage services said yesterday that it will buy Equity Brokerage Services Inc. of Omaha, Neb., for an undisclosed price.

The acquisition will enable BFP Financial Partners Inc. to pick up nearly a dozen new customers and expand its operations into the Midwest, said John W. Houston, BFP's president.

"We made this acquisition because it made sense for us strategically," he said. "We knew we needed someone in the Midwest so we went searching for an individual."

Houston declined to disclose the acquisition price or the financial details of either company. He said he expects the deal to close within two months.

Ted Lange, president of Equity Brokerage, will join BFP as senior vice president and director of its western division. He will report to Houston.

Equity Brokerage has four employees and sales locations in Nebraska, Iowa and Kansas.

BFP will provide securities brokerage services to more than 30 financial institutions, and it will have 10 employees and sales locations in 12 states when the deal closes.

BFP was formed by Legg Mason, the Baltimore-based brokerage firm, about 3 1/2 years ago to provide retail brokerage services to the banking industry.

Houston said most of the company's clients are community banks that don't have the money to operate their own brokerage units.

BFP contracts with these banks to provide products and services that include equities, mutual funds and financial planning. It also oversees the brokerage business operated on each bank's premises.

Pub Date: 8/30/96

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