E*Trade dismisses JDV torpedo bid
Online broking firm E*Trade Australia has scotched rumours it will torpedo technology group IWL’s efforts to acquire rival broking firm JDV following reports in today’s media claimed it was set to make a counter-bid.
The group made an announcement to the Australian Securities and Investments Commission (ASIC) this morning after a story in a Sydney-based paper suggested it was planning to trump IWL’s off-market bid by offering $1.10 for each JDV share.
However E*Trade chief executive Brett Spork said that while the firm was always open to opportunities in the financial services industry in this instance it had no plans to acquire JDV.
“[E*Trade] has no plans to launch a tilt for takeover target and rival internet broking service JDV,” Spork said in a statement.
Two weeks ago the broking arm of IWL announced an off market bid for JDV that would see it issue one IWL share for three JDV shares - pricing the Western Australia-based broking firm at just over $3 a share and more than $90 million in market capitalisation.
The move was followed by JDV directors notifying shareholders to take no action before they issue a formal recommendation to holders of the stock.
IWL yesterday released details of its scrip consideration of almost 30 million shares to stockholders of JDV, which was formerly part of WA-based stock broking group Hartleys.
In February IWL completed its acquisition of another rival broking firm, the former Rivkin Financial Services-owned Avcol Stockbroking business.
Recommended for you
With the highest number of candidates in a year sitting the latest financial advice exam, a surge of new entrants are expected in the coming weeks, according to Wealth Data.
AMP has launched a range of five diversified index managed portfolios on its North investment platform, targeting a younger client demographic.
An NSW adviser, who advised over 120 clients after falsifying her financial advice exam results, has been permanently banned by ASIC.
ASIC has released the results from the latest financial adviser exam, the first to be run since changes to its structure earlier this year.