Financial planning dealer group, Premium Wealth Management has confirmed that its shareholders are considering a bid from financial services group, Australian Unity.
The companies announced they had executed a non-binding indicative offer under which Australian Unity Personal Financial Services would acquire all the shares in Premium Wealth Management.
Money Management understands that the approach from Australian Unity has been under consideration by Premium Wealth Management for a number of weeks.
Money Management understands that Australian Unity has been looking to sustain growth in its wealth management business on the back of the positive contribution reported in the companys half-year result, lodged with the Australian Securities Exchange in February.
Premium Wealth Management describes itself as being wholly-owned by its members.
Commenting on the potential acquisition, Australian Unity Personal Financial Services chief executive, Steve Davis said the addition of Premium would increase Australian Unitys financial advice capability and its exposure in the accountants space.
Premium Wealth Management chairman and founder, Simon Wu, said his board was attracted to Australian Unity for many reasons, including their long term involvement in the accountants market and that they clearly see the value of Premium and recognise the quality of their practices.