Tower courts advisers as spin off gets green light
By Craig Phillips
Tower group’s wealth management spin-off, Australian Wealth Management (AWM), has announced plans to introduce a planner equity participation scheme in a bid to retain and attract additional advisers into its Bridges dealer group, after receiving the green light to list on the ASX.
Shareholders of New Zealand-based Tower Limited backed the move to spin off AWM and list it on the ASX at a special meeting in Wellington last week. The vote of approval means Tower can now proceed with plans to float the business, which includes Bridges and Tower Trust, on February 15, pending Court approval at a hearing scheduled for February 1.
AWM will then look to implement a senior executive option scheme and the planner equity participation plan.
“This planner equity plan will be important in underpinning the close relationship AWM has with its planner network and will be an important feature in attracting additional financial planners in the future,” Tower chairman Olaf O’Duill said.
Tower did not provide specific details as to the level of shareholder support for the deal, which required 75 per cent backing at last week’s meeting.
The deal will see AWM acquire Tower Trust and Bridges from Tower Limited for $250 million through the issue of 120 million AWM shares and a cash payment of $130 million.
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