DKN buys minority stake in Thornton Group
Financial services provider DKN Financial Group has acquired a $2.55 million minority stake in South Australia financial planning firm Thornton Group.
The stake in Thornton, a specialist provider of strategic advice and administration services for self-managed superannuation funds (SMSFs), represents DKN’s fourth minority acquisition since May last year.
Thornton has approximately 2,000 individual and corporate super clients, mainly based in South Australia, with funds under management totalling $300 million.
It was established four years ago following a merger of Hawthorn Investment Services, Wheaton Group and the Australian Superannuation Group.
In terms of the deal, DKN will provide strategic advice and general support to Thornton through its representation on the board.
It follows the acquisition of a minority stake for an undisclosed amount in Adelaide-based planning firm, Tulare Financial Planners, in August this year.
DKN has also acquired minority investments in Queensland’s Quill Group Financial Planners and South Australian group Goldsborough Financial Services.
DKN chief executive Phil Butterworth said the latest acquisition was in line with DKN’s plan to acquire minority stakes in a portfolio of between 10 to 15 quality planning practices nationally.
“We have developed an industry solution for non-aligned financial planning practices to achieve scale through acquisition without having to become institutionalised,” he said.
“In turn, DKN and its shareholders will benefit through ongoing profit contribution from the minority investments, as well as support for DKN’s products and services.”
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