Snowball unveils plans for Shadforth
Snowball Group has given investors an indication of its plans for the merger with Shadforth Financial Group Holdings, with integration, enhanced services and further mergers on the cards.
In a presentation to the UBS Financial Services Conference, Snowball revealed it intended the new group to become “Australia’s leading dedicated non-aligned financial advice and wealth management group”.
Under the merger, chief executive of Shadforth Tony Fenning will be managing director of the merged group, while Snowball chief executive Tony McDonald (pictured) will be group chief executive and an executive director.
The merged board will have seven directors – three from Snowball and four from Shadforth – with existing Snowball chairman Eric Dodd taking on the role as independent chairman of the group.
Sam Gannon, Peter Promnitz, Jim Kilkenny and Tony Fenning from Shadforth will also be on the board, while Graham Maloney and Tony McDonald will represent Snowball.
Snowball has previously signalled its intention to integrate the Shadforth and Outlook advice businesses into a single-focused operating model concentrating on high-net worth and mass affluent clients.
It also intends to extend Shadforth’s managed portfolio service to all advice channels, and launch a strategic fixed interest portfolio to Shadforth clients in the coming months.
Snowball also intends to become the responsible entity of Shadforth core product issuance funds and, if Government policy requires, of Snowball and Shadforth’s super and ordinary money wrap and other administration vehicles.
The company presentation also said it would be looking for more merger and acquisition opportunities, either through employee model acquisitions, new advice communities or franchises, or larger scale mergers.
It also said it would be developing strategic services, including conducting a review of self-managed super funds, portfolio construction, lending and broking, and accounting and tax services.
As the latest market announcement on 20 June, 80.83 per cent of Shadforth shareholders had accepted the offer to acquire all of the ordinary shares. An acceptance rate of 90 per cent is needed.
AUTHOR
Ashleigh McIntyre
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