AZ Next Generation Advisory (AZ NGA), part of Italian asset manager Azimut Group, has agreed to acquire On-Track Financial Solutions, a Perth, Australia based financial planning firm, for about A$5.8m.
The transaction involves share swap of 49% of On-Track's equity for AZ NGA shares, and a progressive buy back of these shares over 10 years. The balance 51% holding will be paid in cash to On-Track's founding partners as part of the deal.
The deal, which is expected complete in November 2016, is the 18th one for AZ NGA. The firm said that the move aligns with its strategy of consolidating Australian financial services practices offering wealth management services to the country’s retail, high net worth, and institutional clients.
AZ NGA CEO Paul Barrett said: “On-Track are a natural fit for AZ NGA as the team is lead by highly experienced Financial Planners in Odelia D’Silva and Bruce Nicholson and has an exciting growth plan which we will be able to assist with.”
Set up by Odelia D'Silva and Bruce Nicholson, On-Track employs nine people and offers advisory services such as wealth accumulation, retirement planning, insurance, and strategic financial planning advice. The firm currently manages over A$170m in client funds.
“With AZ NGA as our partner we can continue to deliver exceptional outcomes to our clients and stakeholders,” D’Silva said.