Investor Group buys Accumulus
Financial planning consolidator Investor Group has acquired independent financial planning firmAccumulusin a move aimed at strengthening its financial services brand, Prescott Consultants.
Investor Group has agreed to pay Accumulus’ principals and key advisers $3 million up-front for the planning business, as well as a further $1.6 million after 12 months, subject to new business and income targets being met.
The Adelaide-based Accumulus, established in 1993 byMoney Management2001 Financial Planner of the Year John Wotherspoon and partner Rosemary Osman, has more than $250 million of funds under advice. The business also has $80 million under administration in its wrap account.
Investor Group managing director Kevin White says the acquisition took three months to complete.
He says Accumulus will play a strategic role in developing Prescott Consultants as Investor Group’s national financial advisory brand.
The existing Prescott Consultants, formerly Ord Minnett South Australia, was acquired by Investor Group in September last year.
Accumulus will begin trading as Prescott Consultants from July 1 this year, giving the business a combined $1.1 billion under management and 25 advisers.
Wotherspoon and Osman will become directors of Prescott Consultants while remaining in their advisory roles, and have made a commitment to stay in the business for a minimum of five years.
White says Investor Group is also in discussions with a number of Melbourne-based groups looking to operate under the Prescott banner, and will also look to expanding Prescott into Sydney and Brisbane.
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