Allco offshoot severs links
Allco Equity Partners (AEP) has distanced itself from the decision by Allco Finance Group (AFG) to enter into voluntary administration, announcing to the Australian Securities Exchange today that its assets and funds are completely separate from those of AFG and are not in any way affected.
The independent chairman of AEP, Ian Tsicalas, made clear that AEP had split from AFG, terminating the management agreement that effectively linked the two organisations and said AEP would be continuing business as a standalone entity.
“The independent directors of AEP have been monitoring the position of AFG closely and have had contingency plans in place to deal with this eventuality,” Tsicalas said in relation to the AFG voluntary administration.
He said there would be no interruption to the business activities of AEP and that its investee entities were unaffected.
“AEP has investments in three significant operating businesses — IBA Heath, Signature Security Group and Baycorp Collections,” Tsicalas said. “Each business is performing well in the current economic environment and we are pleased with the progress being made.”
He said AEP intended offering employment to the executives of the manager, effectively internalising management of the company.
AUTHOR
Mike Taylor
Recommended for you
ASIC has cancelled a Sydney AFSL for failing to pay a $64k AFCA determination relating to inappropriate advice which then had to be paid by the CSLR.
A former Brisbane financial adviser has been charged with 26 counts of dishonest conduct regarding a failure to disclose he would receive substantial commission payments for investments.
Inefficient data processes and systems mean advisers are spending over half of their time on product implementation and administration at the expense of clients, according to research.
With the regulator announcing its enforcement focus for 2025 last week, law firm Hall & Wilcox examines the areas which have dropped down the list in priority for the regulator.
