NZ’s Tower sells investment business
New Zealand's Tower Limited has sold its investment business, Tower Investments, to another Kiwi-based business, Fisher Funds.
The company announced to the Australian Securities Exchange (ASX) today that it had sold the investments business for NZ$79 million, with Tower Group managing director Rob Flannagan saying the decision had followed on from a strategic review.
He said the divestment of the investment business had followed the sale of Tower's health insurance business to Australia's nib Holdings late last year.
Flannagan said a decision had been made by Tower to narrow the company's focus to its traditional core insurance business.
Fisher Funds is described as a KiwiSaver provider, managing more than $1.4 billion on behalf of more than 130,000.
The Tower Investments business was sold as a stand-alone operation, with employees transferring to Fisher funds.
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