Tower snaps up IOOF Trustees
Tower has further expanded its trustee operations in Australia with the acquisition of IOOF Aus-tralia Trustees.
Tower has further expanded its trustee operations in Australia with the acquisition of IOOF Aus-tralia Trustees.
Tower says the purchase will complement the recent merging of the Australian and NZ trustee divisions into a single entity called Tower Trust, previously known as Austrust in Australia.
Tower is already NZ's largest corporate trust company with $21 billion under supervision.
IOOF Trustees, a subsidiary of Melbourne-based fund manager IOOF Ltd, has offices in Ade-laide and Sydney with assets under supervision of over $1.2 billion. The new Tower Trust will operate out of Sydney.
"The IOOF Trustee purchase will enable Tower to enhance our extensive range of private trustee services and further complement our substantial corporate trustee business in New Zealand," says group managing director James Boonzaier.
He says Tower will compete for corporate trust and custodial business as well as back office and administrative service business for fund managers and master trusts in Australia.
IOOF deputy chairman Dr Roger Sexton says the sale to Tower was a logical decision and would ensure the loyal client base continues to receive a high level of service.
"It is part of IOOF's strategic plan to divest itself of non-core assets such as IOOF Trustees and focus on its core business of funds management and financial management,” he says.
"In the past 12 months, IOOF has sold its building society and its retirement village business.
The sale of IOOF Trustees was always part of this strategy which is now nearing completion."
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