MA Financial Group Limited (ASX:MAF) Acquires IP Generation
Strategic Acquisition
MA Financial Group Limited (ASX:MAF) has agreed to acquire IP Generation, a real estate investment management firm specialising in Australian shopping centres. This acquisition increases MA Financial’s assets under management to over $12 billion, enhancing the scale and capability of its real estate business.
Financial Details
The fixed consideration for the acquisition is approximately $90.4 million, implying a 7.9x multiple of normalised FY24 EBITDA. The transaction is expected to be accretive to MA Financial’s FY25 underlying earnings per share on a full-year pro forma basis. The consideration is predominantly MA Financial shares subject to long-term escrow.
Executive Comments
Julian Biggins, Joint CEO of MA Financial, stated, “We are delighted to welcome the IP Generation team to MA Financial. We have a long association with IP Generation and its senior leaders and believe that together we have a significantly strengthened real estate management capability. This acquisition will mutually benefit our many investors, which aligns with our philosophy of achieving win-win outcomes for clients, shareholders and staff.”
Chris Lock, Founder and CEO of IP Generation, commented, “Combining IP Generation with MA Financial is a natural fit. We have known and worked with the MA team for many years and believe that we have a strong cultural alignment as well as a common founder philosophy. We are all very excited about the future and look forward to continuing to deliver attractive investment opportunities and returns to our investors in the same way we have over the last seven years.”
Motley Fool contributor Lianne Eastty has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Ma Financial Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
This article was generated using GPT-4o mini, a Large Language Model (LLM), to generate summaries of investing news. While AI is generating the content, we know better than to blindly trust our future robot overlords, and every article is edited and fact-checked by an editor holding the appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content of everything published by The Capital Club.
