The purchase agreement is the third acquisition by Next Generation Advisory (AZ NGA) this year, according to chief executive and former ANZ advice boss Paul Barrett.
According to an announcement by Next Generation Advisory, the total value of the transaction, including cash and share swap, is around €2.8 million.
There will be a share swap of [49 per cent] of LFPS’ equity for AZ NGA shares and a progressive buy-back of these shares over the next 10 years. The remaining 51 per cent stake will be paid to the founding partners in cash over two years.
Lifestyle Financial Planning Services is a rural Victorian practice and an authorised representative of CBA’s Financial Wisdom. It was the Financial Wisdom Practice of the Year for Victoria and Tasmania in 2006, 2011 and 2014.
Established in 2004 by David Lannen, LFPS has more than $180 million in assets under management. It has 2,500 clients and nine staff in its Geelong, Shepparton and Echuca offices.
“The AZ NGA opportunity has come along at a great time for us,” Mr Lannen said. “We are very focused on growing our business and our new partnership will enable us to enhance our growth and be part of something really special for our clients.”
This purchase is the third deal done by AZ NGA this year and its second purchse of a CBA-aligned practice.
It follows deals made with CBA-aligned Eureka Whittaker Macnaught and the the ANZ-aligned Pride Group.
Commenting on the purchase, Mr Barrett said, “LFPS is an impressive firm with a strong leadership team … and have been very well recognised for their successes.”
The transaction is expected to occur in August 2015.
Mr Barrett is a former managing director of global advice and distribution at ANZ, and together with Azimut established AZ NGA in Australia in November 2014.
