Australian wealth management firm Prime Financial Group has acquired self-managed superannuation fund (SMSF) administrator Intello for a cash consideration of A$4.6m (£2.6m, $2.9m, €3m).
Intello provides services to financial advisers, accountants and their clients across the country.
Around 70% of the purchase price will be paid upfront and the remaining 30% after 12 months, subject to performance targets.
Prime’s chairman and managing director Simon Madder said: “Our goal is to double group revenue over three years to A$50m, (FY22: A$26m) through organic and inorganic activity, and enhance capability across our existing service lines being accounting and business advisory, wealth management, corporate advisory and capital, plus SMSF administration services.
“The Intello team will serve to accelerate this development and we look forward to warmly welcoming them to our group.”
Kevin Nicol, chief executive of Intello, added: “The relationship we have developed over the years with Prime means we know they have similar values focused on their people and their clients. For me, it is important that our clients can retain their relationships with our team, to maintain continuity. Our staff and clients will be in safe hands, managed by industry leading professionals.”
Nicol will remain at Intello for 12 months.
Prime’s managing director for SMSF Olivia Long said: “The acquisition is a critical step in our ambition to be the premier B2B SMSF administrator in Australia over the next five years. On completion of the acquisition, it is anticipated we will provide services to almost 4,000 SMSF accounts, a number we are looking to grow significantly.”
The acquisition was paid for using financing Prime received from Westpac Banking Corporation for a total of A$10m, which will be deployed for future acquisitions as well.