Austock Group has informed the market it is continuing its discussions with Intersuisse Holdings about the sale of Austock Securities.
In a statement to the Australian Securities Exchange yesterday, Austock said the exclusivity period granted to Intersuisse would remain in place until a deal was struck or Austock chose to terminate the arrangement.
“Further information will be provided to the market once negotiations with Intersuisse have concluded,” Austock said.
On 19 December last year, Austock managing director Paul Masi announced the group had entered into discussions with Intersuisse.
As part of the discussions, both parties agreed to exclusivity arrangements with a deadline of 17 January 2012.
Under the terms of the arrangement, Intersuisse would retain Austock Securities’ existing national presence, employ Austock Securities’ existing staff and some Austock Group staff.
At the competition of a successful sale, it is proposed the merged securities business would be rebranded to reflect its national reach and global presence through Intersuisse’s parent company, Philip Brokerage.
“From a shareholder’s perspective, the merging of Intersuisse and the [Austock Securities] business will leave a new Austock Group with a capitalised, focused and more structured investment management business, comprising Austock Property and Austock Life,” Masi said in December.
“For transferring [Austock Securities] employees, there are significant opportunities in being associated with a global group such as Philip.
“At a time when global banks and Australian brokers are scaling back operations, we are collectively creating a new significant player in the Australian market with substantial global resources, presence and reach.”
