Berkshire Global Advisors acted as financial advisor to Generation Development Group
Lonsec is a leading qualitative research firm providing ratings to fund managers, superannuation funds, advisory groups, and platforms.
Generation Life is a specialist provider of investment bond product solutions having established Australia’s first truly flexible investment bond product over 15 years ago. GDG is listed on the Australian Stock Exchange.
Generation Development Group to acquire a strategic 37% investment in Lonsec Holdings Pty Ltd and the development of a new annuity product – to be funded with an equity raising of up to $35 million
Generation Development Group (ASX: GDG) (GDG or the Company) to raise up to $35 million via an institutional placement and accelerated non-renounceable entitlement offer.
$20.1 million will be used to acquire a 37% stake in Lonsec Holdings Pty Ltd (Lonsec) (the Acquisition), a leading qualitative research firm providing ratings to fund managers, superannuation funds, advisory groups, and platforms.
Up to $10 million will be applied to the development of a new annuity product and the regulatory capital required for this.
The remainder will be used for general working capital and transaction costs.
This investment in Lonsec will provide GDG with a highly strategic foothold in an attractive market niche of the financial services and wealth management market.