WT Financial Group Limited (ASX: WTL) (WTL, the Company, or the Group) is pleased to announce it has today completed the acquisition (Completion) of 100% of the issued capital of financial advice network Millennium3 Financial Services Pty Ltd (M3) from Insignia Financial Limited (ASX: IFL) (IFL). The Acquisition was funded using cash at hand.
The M3 network includes around 140 wealth and personal risk insurance advisers operating in more than 75 privately-owned practices across the country. It is one of Australia’s most established networks of financial advice professionals, with its origins tracing back over 30 years.
The Acquisition is highly synergistic and accretive to earnings. Based on its modelling, once fully integrated into its operations, WTL expects the Acquisition to contribute more than $50M of revenue; circa $4.5M of gross profit; and more than $500k of NPBT to the Group on an annualised basis.
The M3 network adds circa $5Bn in advised funds and more than $150M of in-force risk insurance premium, bringing the funds under advice in WTL networks to circa $23Bn and in-force premium to circa $470M.
Commenting on the Acquisition WTL CEO, Keith Cullen, said:
“The Acquisition further cements WTL as amongst the very largest financial adviser networks in Australia. We’re delighted to welcome the M3 cohort of practitioners and their support teams to WTL where they’ll find an ideal home - one where we know they can and will flourish at this time of unprecedented opportunity for advice professionals and advice network operators alike”.
For more information, download the attached PDF.