Perpetual on verge of becoming trans-Tasman business
Pyne Gould has released details of its plans to sell its financial planning and funds management business to offshore interests.
Thursday, January 3rd 2013, 10:06AM
It says, in a statement to the NZX, that it has reached a conditional agreement for the sale of Perpetual Portfolio Management together with Perpetual Asset Management and Perpetual Trust (“Perpetual”).
As part of the announcement it also has a conditional agreement for the sale of its 34% shareholding in Australian research house van Eyk Research.
Under the agreements, Perpetual will first be acquired by van Eyk to create a Trans Tasman wealth management business. Then, PGC’s shareholding in van Eyk will be sold to interests led by London-based wealth management investor Andrew Barnes.
Barnes who previously floated the Australian Wealth Management which later became TOWER.
PGC Managing Director George Kerr said: “The sale gives certainty and security to Perpetual, and links it to significant resources in Australia."
“Andrew Barnes has an excellent track record in terms of creating value for companies and shareholders. He has been based in London for a number of years. Previously he was managing director of Australian Wealth Management.
The transactions are conditional on regulatory support, the purchaser completing its due diligence investigation of van Eyk, and the PGC Board approving the transaction.
Full details of the transaction will be released following completion of due diligence and Board approval, but in the meantime they remain subject to mutual obligations of confidentiality between the parties.
Kerr says the transactions mark the end of the PGC restructuring.
“In 2009 PGC was a leveraged investment company on the verge of bankruptcy. Each operating unit required new capital, new strategy and new management. Today each has a sustainable future –Marac was the genesis of Heartland Bank; PGW was recapitalised and sold; Perpetual will become part of a pure trans-Tasman wealth management business with a clear growth agenda and a highly experienced leadership team..
He says PGC will now focus on its core investment and asset management business – which is Torchlight.
« Why advisers should take notice of housing | Fund managers call for level playing field » |
Special Offers
Comments from our readers
No comments yet
Sign In to add your comment
Printable version | Email to a friend |