Praemium looks to sell international operations

Managed account platform Praemium is looking to divest from its international business operations through a formal sale process.

In an announcement to the Australian Securities Exchange (ASX), Praemium said the divestment would allow the firm to focus on its financial and leadership resources on further accelerating its growth trajectory in the Australian platform market for the benefit of all shareholders.

The firm’s strategic review found while the international platform operation had strong sales and revenue momentum, the marketplace was undergoing significant structural change and consolidation where the business remained at a scale disadvantage to its competitors.

Related News:

“The Praemium board believes an alternative owner of the business will simplify the group, better serving the interests of its clients and better advancing the career opportunities of its employees,” the announcement said.

“Praemium has received unsolicited, strong interest from potential buyers. However, the Praemium board notes that there is no certainty around whether the sale process will result in a binding transaction or whether there will be a decision or recommendation by the Praemium Board to pursue any transaction.”

In the firm’s June quarterly update released today, Praemium chief executive, Anthony Wamsteker, said: “The international business had a standout quarter, with record inflows and funds under administration exceeding $5 billion for the first time. We continue to execute on our on-boarding of new clients and opportunities”.

“The strategic review of Praemium’s international business has reached a conclusion and the board believes an alternative owner would better realise the full potential of the international opportunity.”

Recommended for you




Some Directors are 'born global', others are not - Aussie old cultural cringe. Generally, Boards may be overweight in male Australian lawyers who are more jelly with International compliance, even within the Community of Common Law with legal reciprocity between jurisdictions, and ASIC is a member of IOSCO that mirrors G20 regulatory principles that come out of Switzerland for implementation in respective jurisdictions. It may show insufficient Board members with International experience and with woman with more diverse skills. My Australian AFSL was declined a distribution agreement with Praemium because they may have been concerned that my Hong Kong company has an AFSL for 'advising' and 'arranging to deal' for Aussie expats, non-residents of Australia, but lawyers avoid stating reasons - I will never know why we were subjected to a restraint of trade? I am sorry about the term 'born global', but my 3 adult children, born and professionally educated in Australia now work in the UK residing in Bayswater, Harrow and Oxford. It appears to me that Australia needs a new generation change in Directors to bypass the old cultural cringe, to our new 'born global' generation. How will Sydney join the International financial capitals of world finance with London, New York and Hong Kong?

Add new comment