Two Colorado financial advisory firms have merged to create a $1.2 billion organization to be known as Colorado Financial Management, the two firms announced Wednesday.

Sargent Bickham Lagudis LLC, based in Boulder with $1 billion in AUM, and Colorado Financial Management, with $250 million in assets, are the merging entities. The merger expands Sargent Bickham Lagudis’s presence in northern Colorado.

Colorado Financial’s principals Josh Miller and David Eads will join the newly formed firm as partners. The combined firms have 27 employees, including seven partners who will work in three offices. The goal of the new firm will be to expand further in Colorado and into other states, says Rick Lawrence, president and CEO.