Speaking to ifa from New York, Focus Financial Partners director Rajini Kodialam has confirmed the global firm has acquired Gold Coast-based boutique Financial Professionals.
Established in 1999, the family-run practice specialises in servicing high-net-worth individuals and SMSF trustees in the Gold Coast and Brisbane metropolitan areas, and also has a number of CPAs within the business.
Financial Professionals is the third M&A play in the Australian market for Focus, having already acquired a minority stake in Melbourne-based MW Lomax. Following the injection of offshore capital, MW Lomax subsequently acquired the Westwood Group in Brisbane.
Focus is backed by a consortium of American private equity investors, including major players KKR and Stone Point Capital, and has a niche interest in profitable financial advice practices that are not aligned to financial institutions or product manufacturers.
In a statement to ifa, Financial Professionals founder and chief executive Ross Rickard said the transaction will open new doors.
“As we consider various growth opportunities for the firm, we have been looking for a strategic partner not only to explore these avenues but also to provide us with management support,” Mr Rickard said
“We are excited to join the group of high-caliber Focus firms. We are looking to form more strategic partnerships to extend our client offerings and deepen our bench strength.”
Focus principal Molly Bennard spoke to ifa at the Wraps, Platforms and Masterfunds conference in the NSW Hunter Valley in August about the firm’s M&A war chest and plans for the Australian market.
Correction: A previous version of this article mistakenly inferred that Focus had previously acquired both MW Lomax and the Westwood Group. It has now been amended to reflect that Focus owns a minority stake in MW Lomax, which owns 100 per cent of Westwood Group.
Do they have financial professionals on the Gold Coast?
Miles, they do and we also have some of the best property marketers and sports arbitrage software marketing firms in Australia who for years that have been focusing on selling to the people of Australia who aren’t smart enough to live here. In relation to the “financial professionals” that do reside on the Gold Coast the ones who are here to build a good long term business are in my biased view some of the best going around because we have to compete with those that either move from Sydney / Melbourne and think it will be easy and then generally fail and the public perception of the area. The only problem is we can’t wear white shoes.