Snowball acquires Hood Sweeny Securities
Financial planning dealer group Snowball has acquired corporate superannuation business conducted by Hood Sweeney Securities, realising plans announced in January.
The Adelaide-based business will operate under the Australian Financial Services Licence of Outlook Financial Solutions.
Hood Sweeney Securities will continue to conduct its existing financial planning business for private clients.
The purchase is consistent with Snowball’s acquisition strategy, which has seen the dealer group acquire Mastertek Benefit Consultants (MBC) and plans to acquire the business assets of Queensland financial planning business Money Mentors.
“This transaction builds on our recent acquisition of MBC and demonstrates our continuing commitment to corporate super as a means of diversifying our revenue base and securing sustainable growth,” Snowball managing director Tony McDonald said.
According to Snowball, Hood Sweeny has around $80 million of funds under advice.
The acquisition will be financed from a drawdown from Snowball’s banking facility.
The dealer group has previously announced that it cut its operating costs by 7 per cent in the half year ending December 2008, excluding acquisitions. It booked a 2 per cent rise in costs due to one off acquisitions.
Recommended for you
ASIC has permanently banned a former Perth adviser after he made “materially misleading” statements to induce investors.
The Financial Services and Credit Panel has made a written order to a relevant provider after it gave advice regarding non-concessional contributions.
With wealth management M&A appetite only growing stronger, Business Health has outlined the major considerations for buyers and sellers to prevent unintended misalignment between the parties.
Industry body SIAA has said the falling number of financial advisers in Australia is a key issue impacting the attractiveness and investor participation of both public and private markets.
