Challenger investment platform, Flint Wealth, has reverted to a single shareholder with the exit of Harbour Asset Management and Trustees Executors (TE) from the company’s register.
Harbour and TE both took about a third each of Flint (via holding entity, Formosa Wealth) late in 2019 with Australian firm, ResearchIP, owning the remainder.
Both Harbour and TE increased their respective stakes to just over 40 per cent apiece prior to ownership reshuffle that leaves ResearchIP as sole shareholder of Flint.
Sterling Grace, ultimate owner of TE, wrote down its more than $4.1 million investment in Flint to zero in its latest annual accounts.
“In review of the capital investment in the joint venture, conducted effective 30 September 2023 it was identified that there were indicators of impairment in relation to the financial viability of the joint venture,” the Sterling Grace report says. “Management made the decision to impair the remaining value of the investment held.”
However, Darren Howlin, ResearchIP founder, said both TE and Harbour would continue to work with Flint as service provider and funds management client, respectively.
As reported last month, ResearchIP has embarked on a capital-raising for Flint as the business targets platform ‘white labelling’ for growth.
Howlin said the group was close to launching its first white-label venture with a NZ funds management group.
Flint currently hosts 120 funds from 13 NZ fund managers on the core platform.
Howlin and ResearchIP managing partner, Oliver Trusler, would continue to steer the Flint strategy from Australia, Stuart Auld remains as head of distribution in NZ.
ResearchIP was in negotiations with several interested parties looking to invest, Howlin said.
According to a TE statement, the Flint joint venture had “created a bespoke digital investment platform enabling people to purchase investments across various asset classes domestically and globally”. “We are excited to announce that Research IP, the founders, will take the platform forward into a new investment phase and development,” the TE release says.
Soon to join the new FirstCape joint venture involving Jarden and BNZ investments, Harbour also welcomed the Flint restructure.
“Harbour Funds will continue to be available to clients on Flint, and we look forward to working closely with the Flint team on an ongoing basis,” a statement from the manager says.