SYDNEY: Centrepoint Alliance Ltd. (ASX: CAF) announced Wednesday it has entered into binding agreements to acquire a 51% controlling interest in SEQ Advice Group Pty Ltd., a Queensland-based financial advisory business, in a move that expands the company’s direct participation in recurring advice earnings.
The acquisition, expected to complete Sept. 1, 2026, values SEQ at 7.2 times agreed maintainable EBITDA, with the initial 51% stake representing approximately $600,000 in attributable annualized EBITDA based on the firm’s projected FY27 maintainable EBITDA of $1.2 million. The transaction includes a pathway for Centrepoint to increase its ownership to 75% through a second tranche, subject to performance and succession outcomes.
SEQ, established in 2015, operates offices in Bundaberg and Brisbane, serving approximately 626 client groups with five financial advisers, one professional-year adviser and nine employee shareholders. The business generates roughly $3 million in annual revenue.
Under the terms of the deal, Centrepoint will pay $500,000 in cash at completion, with the balance of the Tranche 1 consideration deferred and expected to be paid in September 2027. A call option deed provides Centrepoint the right to purchase the remaining 25% of shares, while continuing advisers and key personnel will retain approximately 25% ownership to support retention and long-term alignment.
SEQ’s existing management and adviser team will continue to oversee day-to-day operations after completion, with Centrepoint providing support in governance, technology and succession planning.
“SEQ has built a high-quality advice business serving regional and metropolitan Queensland clients, with a strong record of growth, adviser development and client service,” Centrepoint Chief Executive Officer John Shuttleworth said.
“This acquisition is consistent with Centrepoint’s strategy to grow our Financial Advice business and increase our direct participation in recurring advice earnings, while providing a practical succession pathway and retaining meaningful ownership for the advisers and key people who will lead the business into the future.”
The acquisition comes as Australia’s financial advice sector benefits from structural tailwinds driven by an aging population and rising retirement demand, even as adviser capacity remains constrained.
SEQ’s growth objective targets at least $2.5 million in maintainable EBITDA by fiscal year 2031. If achieved and Centrepoint increases its ownership to 75%, the company’s attributable share of EBITDA would rise to approximately $1.9 million. The second tranche settlement may be accelerated if the EBITDA target is reached in an earlier financial year.
Centrepoint said the deal supports its strategy to grow its Financial Advice business to approximately 30 advisers, expand its Queensland presence and leverage its technology and operating infrastructure to improve adviser productivity.
The transaction remains subject to completion conditions and adjustments, and Centrepoint said it will provide further updates as required under its continuous disclosure obligations.
Centrepoint Alliance, listed on the Australian Securities Exchange, offers financial services including licensee services, financial advice, investment solutions, platform solutions and lending solutions across Australia.
