Powerwrap (ASX:PWL)

Off-market takeover of Powerwrap by Praemium (ASX:PPS)

Henslow has advised Powerwrap (ASX:PWL) in relation to the $70.0m off-market takeover by Praemium (ASX:PPS). The merger will create one of Australia’s largest independent specialist platform providers with combined funds under administration of over $28.8bn. The transaction provides Powerwrap shareholders with greater liquidity and marketability through exposure to a company with a target market capitalisation and benefits from a valuation re-rate. Henslow acted as the sell-side advisor to Powerwrap, supporting the Board through the entire sale process, from the initial strategic review and takeover defence, through to the Board reaching unanimous support for Praemium’s offer and full divestment.

Forming one of Australia’s largest independent specialist platform providers

Powerwrap is one of Australia’s leading wealth management platforms, offering a comprehensive suite of investment, administration and shared services to High Net Worth Investors. The transaction will allow Powerwrap to further leverage Praemium’s suite of enhanced technology, complementing it’s already strong service capability in the High Net Worth Investor market segment.

The Highlights

  • $28.8bn

    Funds under administration (FUA)

  • 7.5c + 1 for 2 shares

    Offer structure

  • $70.0m

    Deal value

A partnership with greater scale and a stronger market position

Henslow’s extensive range of public market capabilities have helped create a seamless sell-side process. We look forward to seeing this newly formed merger grow as they strive to become Australia’s largest financial services platform.

"The Powerwrap Board engaged Henslow after receiving a takeover approach. We were pleased with the Henslow team and their advice on the potential transaction. They understood the opportunity and how to get the transaction done in a way that created value for all involved. Thank you Scott McInnes and your team for your judgement, commerciality and pragmatic approach which helped achieve a great outcome"

Powerwrap Chairman, Anthony Wamsteker