Australian stock exchange-listed Euroz has entered into an agreement to join forces with Hartleys in a bid to create a wealth management giant.
Total funds under management for the combined business would be around A$2.5bn (£1.39bn, $1.72bn, €1.53bn), the firms said in a statement.
Euroz will issue up to 33 million shares at a price of A$0.915 each as consideration for 100% of Hartleys.
Hartleys shareholders will own about 17% of the combined entity.
Key Hartleys staff will be subject to staff retention measures, with two Hartleys nominees to be appointed to the Euroz board upon completion.
The merger is subject to a 90% minimum acceptance condition.
Bright and prosperous future
Euroz executive chair Andrew McKenzie said: “Combining our firms will create a dominant Western Australian based financial services company with a strong balance sheet, critical scale, solid and sustainable revenue, with significant cost and operational synergies.”
Hartleys executive chair Ian Parker added: “We are confident in our ability to integrate the two firms and leverage the successful cultures of both to create a significant stockbroking and wealth management business with a bright and prosperous future.”
