Wealth Today’s parent company, WT Financial Group, has announced it has entered into an agreement to buy national financial advisory dealer group, Sentry Group Pty, for an initial purchase price of $7 million.
In a statement to the ASX WTL says the acquisition is transformational for it and will position the company well for future organic and inorganic growth.
The statement says that on completion, the company will emerge with around 275 advisers across 200 practices Australia-wide. Supporting documentation shows this puts WTL amongst the top five independent groups by adviser numbers.
The statement says both WTL and Sentry broadly provide the same suite of licensing solutions within their respective dealer group operations.
“However, as each entity has restructured its operations over the past three years it has focused on perfecting different key aspects of the critical supports essential to advice practices in the modernised industry.
“Importantly, each has a philosophy founded on a collegiate approach to the licensee-adviser relationship that places advisers and their clients at the centre of what they do. Alignment on these key philosophical and operational issues, coupled with the complementary nature of the IP, skills, and experience of WTL and Sentry, presents for a seamless integration to the benefit of advisers and their clients.”
Expanded board and management team
The statement adds that Sentry shareholder and director Michael Harrison will join the WTL board as a non-executive director. Harrison is chairman at financial services growth consultant Peloton Partners.
Sentry managing director (and shareholder) David Newman will assume the role of the company’s joint-chief operating officer (while remaining as managing director of Sentry) – focussing his attention on business development and management of west coast operations; with the company’s current COO, Frank Paul, focussing on east coast operations and group risk management processes.
It notes that WTL’s current head of advice Jack Standing; current Sentry head of legal (and in-house counsel) Shelly Radford; and current Sentry head of finance, Ricton Jones, will each assume expanded responsibilities across the group.
A general meeting of WTL shareholders is scheduled for 16 July 2021 with completion of the acquisition expected on 19 July 2021.
The statement says that WT Financial Group Limited is a diversified financial services group. Its advice and product offerings are delivered primarily through a group of independent financial advisers operating as authorised representatives under its Wealth Today Pty subsidiary.
The Group’s B2C division delivers a range of services directly to wholesale and retail clients through the Spring Financial Group brand, encompassing financial planning, accounting & tax services, mortgage finance services, and investment and asset management.