IOOF exits to allow Infocus/PATRON merger
Dealer group Infocus Wealth Management has announced its intention to merge with PATRON Financial Services, with the PATRON brand and adviser teams being maintained for a minimum of three years, post-merger.
A key to the merger announcement was IOOF exiting its stake in PATRON.
Infocus announced late on Monday that it intended to merge with PATRON with the proposal being subject to Infocus shareholder approval but with the objective of the merger being completed in late July.
Commenting on the move, Infocus managing director, Rod Bristow said the merger would create a national, independently owned wealth management business with 200 advisers providing financial advice to over 50,000 retail clients.
Bristow said Infocus had spent considerable time reviewing the market to identify like-minded groups with which to join forces.
"Merging with PATRON provides the opportunity to leverage our capability to create a national, independently owned wealth management business of scale. This is a powerful vote of confidence in Infocus' business model and strategy," he said.
PATRON General Manager Rob McCann noted that the PATRON brand and adviser facing teams would be retained for a minimum of three years.
He said another key feature of the merger is that the group does not have any institutional ownership and would be owned by management and advisers.
"In regards to equity holders, we have been in discussions with IOOF and they agreed to sell their stake in PATRON pre-merger. They have been important to the success of PATRON and we look forward to continuing to work with them in future," McCann said.
Recommended for you
Unregistered managed investment scheme operator Chris Marco has been sentenced after being found guilty of 43 fraud charges, receiving the highest sentence imposed by an Australian court regarding an ASIC criminal investigation.
ASIC has cancelled the AFSL of Sydney-based Arrumar Private after it failed to comply with the conditions of its licence.
Two investment advisory research houses have announced a merger to form a combined entity under the name Delta Portfolios.
The top five licensees are demonstrating a “strong recovery” from losses in the first half of the year, and the gap is narrowing between their respective adviser numbers.
