HUB24 and Class have inked a Scheme Implementation Deed, a move set to cement HUB24 as a leading provider of platform, data and technology solutions for the wealth and SMSF industries.
In a statement issued on Monday, Class confirmed its board of directors has unanimously recommended the scheme, in the absence of a superior proposal.
Class shareholders will receive 1 ordinary HUB24 share for every 11 ordinary Class shares held, plus $0.10 per ordinary Class share.
“The Class board of directors has carefully considered the proposal and believes it represents compelling value for Class shareholders,” said Class chairman Matthew Quinn.
“The structure of HUB24’s proposal provides an exciting opportunity for our shareholders to maintain exposure to Class’s growing business, while also sharing in any future upside and combination benefits with HUB24.”
Following the acquisition, Class will continue to operate as a standalone business unit within the HUB24 group.
“Class will be run as a standalone business within the HUB24 group, leveraging our deep technology expertise to deliver superior outcomes to both sets of customers,” Class CEO Andrew Russell confirmed.
Hub24 is the market leader but I am concerned they offer different rate cards to different AFSL’s. What happens if I change AFSL’s? The clients fees increase due to Hub24’s murky deals?
Clients are all most always grandfathered if the rate at your new AFSL is not better for them – clients are not prejudiced for your AFSL change
That was not my experience in fairness re grandfathered. I still struggle with the concept. Netwealth has abolished this practice. Hub are cruising for a bruising on this one. Why should clients fees differ from AFSL to AFSL if the recommendation is the same?
If you change AFSLs, the old AFSL keeps the clients? A non-issue? 8)