Clime Investment Management has confirmed it is bidding for a wealth manager that was previously held by embattled fintech group Sargon Capital.
Clime alerted the market on Monday that was in discussions around acquiring all of the shares in Madison Financial Group.
It stated there is not yet any certainty the discussions will result in any definitive transaction. Further, Clime indicated it will inform the market “as appropriate”, should a transaction arise.
The declaration has come a week after newly formed entity Pacific Infrastructure Partners has acquired Diversa Trustees, CCSL and Tidswell Financial Services from Sargon Capital. APRA had given the purchase the green light.
Platform provider OneVue, who is still owed $31 million from its original sale of Diversa Trustees and CCSL to Sargon before the company fell into administration, said it would seek to recover its share of the sale proceeds through the Federal Court.
OneVue had appointed receivers to protect its interests, who proceeded to secure and sell Sargon’s 19 per cent stake in Sequoia Financial Group, as well as taking over ownership of Madison Financial Group. The sale of Madison is expected to be completed this month.
OneVue said the court had made orders on 1 May permitting the sale of the Sargon operating businesses and the proceeds of the Diversa and CCSL sale – $29.6 million – had been paid into the account of voluntary administrators for Sargon.
Sarah Simpkins is a journalist at Momentum Media, reporting primarily on banking, financial services and wealth.
Prior to joining the team in 2018, Sarah worked in trade media and produced stories for a current affairs program on community radio.
You can contact her on [email protected].