The deal would significantly expand Certe’s risk insurance and employee benefits business, and bring additional capability in holistic financial advice and wealth management.
The combined group’s client base, which included many large legal and professional services firms, would gain access to a broader range of advisory solutions under one roof.
Under the deal, Certe acquired 60% of Genesis Financial Partners upfront and would purchase the remaining 40% at a later date.
According to Jeremy Boller, chief executive officer, Certe, the transaction formed part of an ambitious growth strategy, which includes organic growth, mergers and acquisitions, supported by the group’s capital and growth partner, AZ NGA.
“Demand for strategic financial advice among our corporate clients and their employees has been steadily rising. Many are partners and executives of large professional services firms so they are time poor and want convenient access to high quality advice on insurance, superannuation, investing and retirement planning from someone they trust,” Boller said.
“This acquisition fills a gap in our value proposition, strengthens our existing employee benefits service and enables us to help more people. It strongly positions us as a serious challenger in the employee benefits space.”
Genesis Financial Partners co-founder and joint managing director, Phil Robbins, said the deal represented a win/win for all parties by expanding the breadth and depth of services available to both Genesis and Certe clients, providing attractive and greater career development opportunities for the talented senior staff at Genesis, and creating a path for him to gradually step back from day-to-day management.
Under the deal, Robbins and fellow Genesis joint managing director, Wilton Wong, would remain with the group for a minimum of three years.
“We had been looking for a partner to help take our business to the next level for some time,” Robbins said.
“Outside of the big three international broking firms, Certe and Genesis together will be right up there in terms of the size of our group risk and employee benefit portfolio. We’re keen to continue building our business and taking care of our clients and staff.
“Certe is also a leader in the employee benefits space. The way they approach things is quite unique and innovative, which Genesis clients will benefit from.”
Certe and Genesis Financial Partners would continue operating independently for the next 12-18 months, before merging some functions to extract synergies and cost benefits.
