Independent financial advisers remain unfazed by the Booster bid for the Lifetime Group network, according to chief, Diana Papadopoulos.
Papadopoulos said feedback to date on the Lifetime proposal has been “surprisingly positive”.
“I think advisers recognise there is space for multiple models,” she said.
In a statement, Paul Foley, Booster Group chair, also said the Lifetime deal – if it goes ahead – would not compromise its relationships with third-party advisers.
“Booster remains committed to supporting advisers and adviser businesses throughout New Zealand as we always have,” Foley said.
Under the offer confirmed last week, Booster would take full control of Lifetime after buying an almost 31 per cent stake in the advisory chain in 2021 via its Tahi private equity fund. Booster KiwiSaver and other diversified funds are exposed to Tahi.
If approved by Lifetime shareholders, Booster would also buy out the Tahi holding with the manager establishing “protocols” to maintain “separation of personnel and confidentiality of information” as the transaction continues, according to a release.
The statement says “independent non-executive members of the Tahi Investment Committee” would determine a response to the Booster offer “in the best interests of its investors”.
Founded in 2006 as Lifetime Financial Security, the advisory business – owned through Lifetime Group Holdings – counts 65 advisers under its flag.
Peter Cave, Lifetime managing director, owns about 16 per cent of the business.
In 2018, the Cave-headed Camelot advisory network – which had a long association with Booster and its prior brand, Grosvenor – merged with Lifetime.
Foley said Booster did not intend to “make any fundamental changes to Lifetime’s brand, management team, adviser network, staff, culture and client relationships”.
In another deal revealed last week, Fisher Funds made its inaugural direct investment in a NZ company in a joint venture with local private equity player, Direct Capital, to buy NZ Health Group for an undisclosed sum.
NZ Health Group is “the largest provider of community health, disability and wellbeing services across the country with 48 locations nationwide”, a Fisher release says.
Fisher flagged a new strategy last June targeting a private equity exposure across its KiwiSaver and other funds of up to 10 per cent in a mix of global third-party managers and local direct investments.
The $20 billion plus manager hired Michael Walmsley from Jarden to spearhead the private equity push. Another Fisher private equity specialist, William Fletcher, jumped ship to the NZ Superannuation Fund this June.
Walmsley said in a release that the health company purchase marked an “important milestone” for Fisher.
“We have been deliberate in identifying and securing our first direct investment in New Zealand,” he said in the statement. “We believe New Zealand Health Group is a high-quality organisation, with an experienced management team, proven track record and future growth opportunities.”
Fisher, headed by Simon Power, is yet to find a permanent replacement for chief investment officer, Ashley Gardyne, who announced plans to step into a newly created head of global equities role this May.
Gardyne remains as CIO in the interim. The Takapuna-based manager has seen several senior executive and management changes this year including the departure of chief client officer, Nilesh Mistry.
BNZ general manger customer contact centres, Adam Ward, will take on the Fisher chief client officer job at the end of September.