SYDNEY, AUSTRALIA: HUB24 Limited (ASX: HUB) has entered into an agreement to acquire 100% of the ordinary shares of myprosperity Pty ltd for a total consideration of $40 million in HUB24 Limited ordinary shares.
The acquisition is expected to deliver long term shareholder value by accelerating HUB24’s platform of the future strategy, supporting our current growth trajectory and strengthening our competitive advantage to capture market share and create new growth opportunities.
The unique capability provided by myprosperity together with HUB24 will consolidate the group’s position as a leading provider of integrated platforms, technology and data solutions for financial professionals.
myprosperity is a leading provider of client portals for accountants and financial advisers. Client portals with enhanced capability like myprosperity, are transforming client engagement by delivering a holistic view of household wealth, providing secure digital engagement and facilitating collaboration between clients and the financial professionals they have a relationship with.
Integration of myprosperity with HUB24 custodial and non- custodial platforms is planned initially, followed by the development of a single client portal for the entire HUB24 group portfolio of products and services.
This is expected to extend HUB24’s market-leadership position and deliver both increased customer advocacy and new opportunities to further grow market share across the HUB24 group.
Together with HUB24, myprosperity will provide an improved client experience, streamline service delivery, and increase productivity, enabling financial professionals to empower a better financial future for more clients.
It is intended that myprosperity will operate as a separate business unit within the HUB24 group under the myprosperity brand and leadership team, retaining their entrepreneurial culture whilst benefitting from HUB24’s technology infrastructure and shared services.
myprosperity will be incorporated into the Platform segment within HUB24’s financial reporting disclosures.
HUB24 Managing Director Andrew Alcock commented: “We’re excited to be announcing the acquisition of myprosperity, who are a leading provider of client portal technology for advisers and accountants and welcome Peter McCarthy and his talented team to HUB24. This acquisition will consolidate our market-leadership position and accelerate the delivery of our platform of the future strategy, strengthening our competitive advantage to capture further market share and new growth opportunities”.
Peter McCarthy, Founder and Executive Director of myprosperity said: “The team at myprosperity are delighted to be joining the HUB24 group. We look forward to working together to continue to deliver efficiency, enhanced client engagement and compliance support for financial advisers and accountants and leveraging combined capabilities to deliver benefits for both new and existing clients”.