Millennium3 plans to expand Elders Financial Planning from 35 advisers to 150 over the next three years, the ING-owned dealer group has said.
The announcement follows Millennium3's acquisition of a majority stake in Elders Financial Planning at the start of this month.
"It's a great opportunity to support regional Australia in the area of advice as the wider Elders financial services business has a very large regional client base, which comprises approximately 400 Elders branches," Millennium3 co-managing director Darryl Foster told InvestorDaily.
Elders Financial Planning advisers were spread across Australia, though the acquisition of a majority stake by Millennium3 would enable more adviser services to be added at Elders branches where no advisory practices were currently attached, Foster said.
In addition, the deal would lead to a broader product selection and improved back-office support services and capability for Elders Financial Planning, he said.
"We're offering services in areas including compliance, accounting, business planning, professional development days and so on," he said.
The acquisition, however, would not put a strain on the Millennium3 network, he said.
"We're bolstering staff capabilities in the areas of compliance, accounting and business planning to service the Elders Financial Planning network so that we have capability to service the new staff we have on board," he said.
Under the deal, trading will continue under the Elders Financial Planning name and branding will be retained.
Total cash proceeds of $5 million will be received by Elders for the 51 per cent stake, with formal agreement of the transaction targeted for the end of the month and a new ownership structure to come into effect from 1 November.
