NSW-based electricity industry super fund Energy Industries Superannuation Scheme (EISS) has announced its intention to sell its administration business, FuturePlus Financial Services Pty Ltd.
The sale has been confirmed by EISS chief executive Alex Hutchison, who said the decision had been based on a review of the fund's investments and an analysis that EISS was "not its natural owner".
The decision to sell FuturePlus also appears to follow on from the failed merger between EISS Local Government Super.
"Whilst FuturePlus is competitively well placed as a sound, profitable and efficient administration and financial services business, after our review we concluded that EISS is not its natural owner," Hutchison said.
"Indeed, FuturePlus would be better suited to a company whose primary focus is the provision of administration and other financial services that wishes to add or is looking to achieve scale in an industry that is rapidly consolidating," he said.
In the wake of the failed merger between EISS and LG Super FuturePlus was the subject of a number of senior staff departures – something which prompted a query from the Australian Prudential Regulation Authority.
Hutchison said EISS had appointed ICS Advisory to advise on the sale of FuturePlus.
