Snowball acquires Yarra
Sydney-based financial services group Snowball has acquired Melbourne-based financial planning business Yarra Financial Group.
The publicly-listed Snowball announced the acquisition today, with managing director Tony McDonald saying the Yarra acquisition together with that of IFP last year were consistent with the company’s acquisition strategy.
The company had also undertaken the licensing and acquisition of right to revenue for three North Sydney-based practices, which added about $135 million in funds under advice (FUA), and entered into a licensing agreement with corporate superannuation business Cambrian.
He said that when looked at in aggregate, the acquisitions significantly bolstered Snowball’s adviser numbers and profitability in the run up to the new financial year.
Yarra Financial Group has approximately $130 million in FUA while the IFP group had $120 million in FUA.
McDonald said that overall, the latest acquisitions and licensing arrangements would add around $450 million in FUA to the Snowball Group and were forecast to contribute around $2 million EBITDA a year to Snowball.
AUTHOR
Mike Taylor
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