IOOF Holdings Limited (ASX:IFL) will buy Shadforth Financial Group Australia in a deal worth $670 million.
The financial management company will enter a scheme of agreement and offer SFGA shareholders 0.104 of an IOOF share per SFGA share.
The company says the combined business will be one of the largest listed wealth management businesses in Australia.
The SFGA board has unanimously recommended that shareholders vote in favour of the scheme.
IOOF reported a net profit of $49.1 million in the first half of the 2014 financial year.
