The Findex Group advises that the Scheme Implementation Agreement proposed to Crowe Horwath shareholders has received a positive vote and Findex will now move to acquire 100% of Crowe Horwath shares in Australia and New Zealand.
Findex Group CEO Spiro Paule said:” Findex will apply to the ASX for the removal of Crowe Horwath from the official list of the ASX with effect from the close of trading on 18th December 2014. “
Findex is paying 50c for each Crowe Horwath share, which places an enterprise value on Crowe Horwath of approximately $200million, and covers all Crowe Horwath businesses in Australia and New Zealand.
The acquisition price implies an equity value for Crowe Horwath of approximately $137 million. The balance represents Crowe Horwath debt for which Findex is assuming responsibility.
Findex intends to maintain and build the Crowe Horwath brand, which is the fifth largest accountancy group in Australasia with 110 offices across Australian and New Zealand.
The addition of the Crowe Horwath business will create an important strategic pillar in the Findex Group, allowing it to strike a more balanced service offering between financial advice and accounting. In addition to its wealth management, lending and risk protection divisions, the group now adds further expertise and market presence in accounting plus significant audit and corporate advice capabilities.
The Findex Group’s business model is based around independence from investment products and non-conflicted advice delivered across the spectrum of financial services. The transaction will mean the Findex Group’s advisory businesses will now have more than $15billion under advice whilst its combined accounting businesses will make it the fifth largest accounting practice in Australasia.
