Accounting and financial advice firm Countplus has acquired a 30 per cent stake in DMG Financial, expanding its member network to 20 firms.
Consideration for the investment in the Gippsland, Victoria-based accounting and financial planning firm was a cash payment of $2.89 million, with the acquisition expected to be earnings accretive in the first year.
The existing key principals and management personnel of DMG Financial would remain the same, Countplus said.
Countplus chief executive Matthew Rowe said: “The Countplus ‘owner-driver, partner’ model allows for businesses to retain their identity while simultaneously working with Countplus to sustainably grow their businesses.
“The investment in DMG Financial is a model example of this strategy in operation and we look forward to working with the DMG team on building for their future.”
DMG Financial managing principal Mathew Johns said: “Countplus is a network that puts the client at the centre of everything and that belief mirrors the DMG way of doing business.
“We very much look forward to continuing to provide a vital service for our clients in the Gippsland region, while availing of the strategic vision, resources and capabilities of the Countplus network.”
The investment in DMG Financial is the latest in a series of recent acquisitions by Countplus. In June, it acquired its former parent company, Count Financial, from Commonwealth Bank of Australia for $2.5 million.
Earlier this year, it also acquired a 40 per cent stake in Melbourne-based accounting business Rundles Prime, as well as a 20 per cent stake in its financial advice business, Rundles Financial Planning.
“We are focused on realising our vision to become Australia’s leading network of professional accounting and financial advice firms, aligned through shared values, mutual success and our sense of community. This investment in DMG is another encouraging step towards achieving our vision,” Rowe said.
“We firmly believe in the potential of the convergence of accounting and advice and are pleased to be able to continue to find firms to partner with that meet our expectations.”