AZ Next Generation Advisory (AZ NGA) is set to acquire financial planning firm Certe Wealth Protection, subject to settlement terms and government approvals.
In an announcement, AZ NGA said the deal included a cash payment of 51% upfront and a share swap of 49% of Certe Wealth Protection for AZ NGA shares, with a progressive buy-back of these shares.
Based in Sydney and Brisbane, Certe was a specialist risk insurance advice business with four advisers, seven support staff, and was founded by principal Jeremy Boller. The firm had approximately $16 million of inforce premiums.
Boller said the firm had reached a size and stage where it needed the capital and support of a large, experienced partner to help capitalise on opportunities.
“The COVID-19 crisis reinforces the relevance and importance of life insurance. At this time, we are more active than ever. We are calling our clients, checking that they are okay and reassuring them that they are covered should something go wrong. We are not sitting back and crossing our fingers that clients don’t cancel their policies,” he said.
“Risk is a specialist area and sadly there are fewer and fewer risk specialists around, but that is also an opportunity for us. AZ NGA is the ideal partner to take this business forward.”
AZ NGA now has acquired an interest in about 60 accounting and financial advisory firms.