The scheme of arrangement was passed with 100 per cent of votes cast in favour out of the 99.43 percent of SFGA shareholders present and voting.
IOOF managing director Christopher Kelaher called the vote a “significant milestone”.
“This highly complementary transaction will create the third largest advice business in Australia by funds under advice (FUA) and one of the largest listed wealth management providers,” said Mr Kelaher.
For the acquisition to go ahead, the federal court will need to approve the scheme at the second court hearing scheduled for this Wednesday.
In a statement in an ASX statement, SFA said that if the court approves the scheme, it planned to lodge the orders with ASIC immediately, making the acquisition effective as of Wednesday 6 July.
In his address to shareholders, chairman of SFG Peter Promnitz said the directors considered IOOF’s proposal to be in the best interests of shareholders and acknowledged the “merits of consolidation in the financial services industry”.
“In a consolidating sector, your directors believe that proactively becoming part of a larger ASX-listed company with a highly complementary service offering is consistent with our strategic object of providing ‘best of breed’ advice and service to our clients,” said Mr Promnitz.
“A larger combined group will have the scale and competitive advantage to offer a wider range of products and services for our clients in future years,” he said.
“In an environment of increasing regulation and cost pressures, your directors also recognise the benefits of improved diversification of revenue and profit,” said Mr Promnitz.
