Euroz has announced the acquisition of Blackswan Equities Limited, which specialised in stockbroking, investment management and corporate advisory business.
Blackswan was formed in May 2009 and has a focus on the resources and industrial sectors in Western Australia.
Euroz plans to issue up to 5.2 million shares as full consideration to acquire 100 per cent of Blackswan with the transaction subject to due diligence between the parties.
The transaction will aim to complete on 1 July 2014 and key Blackswan staff will be subject to appropriate staff retention measures.
Following the successful completion of the transaction all four members of the Blackswan board (Tim Lyons, Tony Kenny, Tim Weir and Tom Loh) will join the Euroz Securities Limited board as executive directors.
Euroz chairman Andrew McKenzie said: “Blackswan is a fantastic, complementary fit for our business that will provide solid revenue, cost and operational synergies for our combined group”.
“Blackswan have an excellent reputation as a strong private client and portfolio administration business and their expertise in this area will enhance our wealth management capabilities,” said Mr McKenzie.
“Our established WA market position, research, institutional and ECM strength will provide greater opportunities for all Blackswan clients in the merged group,” he said.
Blackswan executive chairman Mr Tim Lyons said: “Our entire team is excited with the opportunity to join Euroz and importantly build on the growth opportunities for our clients offered by the consolidated group.”
“Blackswan has a significant high net worth client base with funds under advice in excess of $1.4 billion. We believe the strength of Euroz’s corporate brand will provide significant opportunities to our clients in the future,” he said.
Completion of the acquisition is subject to certain conditions including completion of due diligence by the parties and execution of formal binding agreements.
