On Wednesday, it was confirmed receivers Daniel Walley and Christopher Hill had signed a share sale deed with Clime for the sale of the issued share capital of Madison alongside AdviceNet, wealth platform WealthPortal and separately managed account specialist Proactive Portfolios.
The deed assumed total expected consideration of around $5 million, of which $2.5 million is subject to a two-year escrow arrangement, which reduces to $1.25 million after 12 months.
Completion is conditional upon consent or court order to the same effect from Sargon creditor Taiping Trustees (China-Taiping).
OneVue, the creditor that had secured Madison alongside other Sargon companies when the group entered administration, indicated that discussions with China-Taiping on its asserted stake over the Sequoia share sale as well the current advice group sale remains ongoing.
Completion of the sale is expected to be complete within 10 business days.
OneVue sold its Diversa and CCSL trustee businesses to Sargon last year, but was still owed $31 million when the group and a number of its companies entered administration earlier this year.
OneVue had appointed receivers to protect its interests and then proceeded to secure and sell Madison as well as Sargon’s 19 per cent stake in Sequoia Financial Group.
Sarah Simpkins
Sarah Simpkins is a journalist at Momentum Media, reporting primarily on banking, financial services and wealth.
Prior to joining the team in 2018, Sarah worked in trade media and produced stories for a current affairs program on community radio.
You can contact her on [email protected].
