KKR backs FIWA acquisition of CHAMP-owned Centric Wealth

FIWA said in a release that it has agreed to acquire all outstanding ordinary shares issued by Centric Wealth by way of an off-market takeover bid. Centric Wealth shareholders will be entitled to receive A$8.9 cents cash a share. The deal is reported to be worth about A$130 million ($116.9 million)

CHAMP paid A$80 million in early 2009 for a 75% stake in Centric. The remaining stake is held by about 220 shareholders.

Centric Wealth manages approximately A$4.1 billion in assets under advice from offices located in Sydney, Melbourne, Brisbane, Canberra and Newcastle. It has billions of dollars of life insurance coverage and has over A$1.3 billion in loans under advice and other debt instruments.

Founded in 2000, FIWA provides retail financial planning, accounting and wealth management services. It has acquired more than 45 businesses to become a national presence with offices in every major capital city of Australia, and about 20,000 clients accessing a range of financial services.

"The combination of the two businesses creates one of Australia's largest, non-aligned financial advisory organisations," FIWA founder and chief executive officer Spiro Paule said. "We believe the combined strength of Centric Wealth and FIWA underpinned by the global reach and capability of KKR will create a new force in Australian wealth management."

The offer period ends on the 17th of March.

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• Topics
• Australasia
• Financials
• Exits
• CHAMP Private Equity
• Australia
• Financial Services
• Exit
• KKR