Listed investment manager Challenger has announced it has entered into a $25 million acquisition agreement for specialist SMSF service provider Bendzulla Actuarial.
Bendzulla is a leading provider of SMSF actuarial certificates in Australia, with a market share of more than 50 per cent serviced through relationships with about 5500 accounting firms.
Challenger chief executive Brian Benari said the Bendzulla acquisition was a strategic investment for the company in terms of SMSF retiree research, product and service development, and distribution.
“While all retirees value secure income streams, SMSF retirees tend to be more aware of longevity risk,” Benari said yesterday.
“They know that more money doesn’t necessarily insure them against the risk of outliving their savings.”
As part of the acquisition strategy Challenger is looking to expand its service offerings to the actuarial firm’s SMSF customers and their accountants.
Bendzulla has 23 staff and will remain headquartered in Hobart as a wholly-owned subsidiary.
The acquisition is earning accretive, has been funded from cash reserves and is scheduled to be completed in January 2014.
