Collins Stewart, a leading independent stockbroking firm, has acquired a 25 per cent stake in one of Malta's top firms – Charts Investment Management Service Ltd, which was set up in 1985 and is currently headed by brothers Wilfred and David Mallia.

Collins Stewart forms part of Collins Stewart Tullett, a global financial services group listed on the London Stock Exchange. The group has over 3,000 staff in 29 countries covering all the significant financial markets. Moreover, the firm's Corporate Finance division in London is one of the pre-eminent brokers in raising capital for smaller companies whilst also performing a market-making function for all those issues to which they are appointed brokers. Wilfred Mallia confirmed that “Charts has had a business relationship with Collins Stewart dating back 15 years and we fully recognise their strenghts in raising money in the London market. We also acknowledge their extensive investment management operations conducted from London and their offshore offices. These were undoubtedly the key drivers that made us approach Collins Stewart.”

The deal was signed last week by Grahame Lovett on behalf of Collins Stewart who said: “This deal opens up the possibility of expanding in a new market and the best route for Collins Stewart was to buy into an established firm in the Maltese financial market.” The deal includes an option for Collins Stewart to increase its stake to 51 per cent within a defined timeframe.

The parties have agreed to create a replica (on a smaller scale) of a vertically integrated financial services operation on the lines of Collins Stewart in London - strong in corporate finance and research and in wealth management. Grahame Lovett insists that “this deal is a show of confidence in Malta and we will be doing our utmost to achieve the very ambitious strategic plans mapped out with Charts. There is a lot of synergy between us and we feel that there is a tremendous amount that we can do to assist the local capital market to grow. We are aware of the efforts currently underway to attract fresh listings to the Malta Stock Exchange and this is an area where we want to make our presence felt”.

The deal with Charts also covers the provision of training of an analyst in the preparation of research reports on locally listed companies and short-term placing of executive staff in corporate finance and other departments in London, Jersey and Guernsey.