Baker & McKenzie Acts for DKN Financial Group on IOOF Takeover
Deal Announcement
4 October 2011
Melbourne, Australia, 4 October 2011 – Baker & McKenzie acted for DKN Financial Group Limited on its AUD115 million acquisition by IOOF Holdings Limited.
The deal was effected by way of scheme of arrangement.
The Baker & McKenzie team was led by Corporate partner Richard Lustig and associate Simon Schenkel, along with partner Alex Wolff and senior associate Helen Joyce. The team worked closely with financial adviser Macquarie Capital (Australia) Limited on the transaction.
Lustig said the transaction was particularly interesting due to the way it was structured, "The deal structure provided flexibility by enabling certain DKN optionholders to choose between exercising their DKN options and receiving the consideration under the scheme or alternatively receiving IOOF options. This occurred without there being an options scheme, but still in a way which preserved capital gains tax rollover relief."
Lustig added that the Firm should start to see more transactions involving financial services companies as the market continues to consolidate.
"Baker & McKenzie has been involved in a number of transactions in the financial services industry recently. With increasing market consolidation in this area and in light of industry regulatory changes, we can expect to see more transactions in the financial services industry, particularly in the small to mid-cap end of the market," he said.
DKN is a leading financial services solutions provider to financial wealth management practices.
IOOF was advised by Blake Dawson and Nomura Australia Limited.