IOOF completes purchase of ANZ dealer groups
IOOF has completed its acquisition of Australian and New Zealand Banking Group’s (ANZ’s) aligned dealer groups (ADGs), while making further arrangements for the complete acquisition of the ANZ One Path Pensions and Investments (ANZ P&I) business.
The two companies said the final arrangements meant that full legal ownership of ANZ ADGs transfer to IOOF effective 1 October 2018.
They also gave effect to a substantial “economic” completion of the ANZ P&I business as of today via an initial payment by IOOF of $800 million to ANZ to subscribe for a debt note, while ANZ will pay a coupon rate of 14.4 per cent to IOOF, which is broadly equivalent to 82 per cent of the economic interests in the ANZ P&I business, from 2 October 2018 until the debt note is redeemed.
Redemption of the note is expected upon the completion of the acquisition of the ANZ P&I business. The two companies said final completion of the acquisition is expected to take place after successful completion of a successor fund transfer, which expected to occur towards the end of March 2019.
IOOF also reiterated previous earnings guidance, assuming stable economic conditions, the accelerated completion date for the ADGs and the substantial “economic” completion of the ANZ P&I business.
Recommended for you
A financial advice firm has been penalised $11 million in the Federal Court for providing ‘cookie cutter advice’ to its clients and breaching conflicted remuneration rules.
Insignia Financial has experienced total quarterly net outflows of $1.8 billion as a result of client rebalancing, while its multi-asset flows halved from the prior quarter.
Prime Financial is looking to shed its “sleeping giant” reputation with larger M&A transactions going forward, having agreed to acquire research firm Lincoln Indicators.
An affiliate of Pinnacle Investment Management has expanded its reach with a London office as the fund manager seeks to grow its overseas distribution into the UK and Europe.
