Fiducian acquires $85m FUA planning firm
Publicly-listed financial services firm Fiducian Group announced an acquisition of another financial planning business with $85 million in funds under advice.
The group said it is a Sydney-based business, which would move into the current Fiducian premises but refused to divulge the name of the dealer group, the number of advisers joining the group, or its previous licensee.
The deal brings the group's total funds under advice to $1.71 billion, and is funded through a consideration of $2.4 million in cash and some shares.
Manager, investment projects, Jai Singh, said: "Any ongoing revenue synergy will be additional and should continue to deliver excess returns to shareholders as realised."
Fiducian said the run rate EBITDA for the acquired business is $0.5 million pre-synergy.
The acquisition follows a deal in July by Fiducian to buy a Chatswood-based planning practice with more than $60 million in funds under advice.
Before that, the group added around $81 million of funds under advice between 1 July 2014 and March 2015 by acquiring new planners and expanding operations.
It acquired a financial planning business for $1.31 million in May last year, which added $66 million in funds under advice to the group.
AUTHOR
Malavika Santhebennur
Recommended for you
The board of Insignia Financial has reached a decision regarding the possible acquisition of the firm by US private equity giant Bain Capital.
Six of the seven listed financial advice licensees have reported positive share price growth in 2024, with AMP and Insignia successfully reversing earlier losses.
There has been a 16.3 per cent rise in the wealth of Australian billionaires this year to over $200 billion, UBS finds, as Australian advisers shift their offerings to meet this expansion and service their unique needs.
AZ NGA is looking to triple in size over the next five years as US investment giant Oaktree completes its $240 million investment in the professional services company.
