JBWere is looking to provide an additional range of benefits for its clients through the National Australia Bank (NAB) private wealth network as well as explore growth opportunities under its new ownership structure announced yesterday.
The new deal saw NAB acquire 80.1 per cent of the former Goldman Sachs JBWere private wealth management business in Australia and New Zealand.
"We have great visibility on the things that NAB can bring to the table and that's a broader range of products, high quality infrastructure, and a client referral opportunity that we are really excited about throughout our business," JBWere managing director Paul Health said.
"So we think this puts us on a really good platform to be able to grow our business and take advantage of what we see as great opportunities in private wealth in Australia," he said.
The JBWere business will operate as a separate brand under the MLC and NAB Wealth division, much like the bank's existing Jana asset consulting and Plum Financial Services superannuation operations.
However, the JBWere business will be given its own operating platform after a period of time.
"We'll be transitioning JBWere onto a new platform over a period of time and we have transition arrangements in place to do that and that platform is already part of the plans of MLC and NAB Wealth to be expanded," MLC and NAB Wealth chief executive Steve Tucker said.
"There is a transitional period of time after which we will be transitioning the business completely away from the current infrastructure to new infrastructure as part of MLC and NAB Wealth," he said.
Tucker would not elaborate on how expensive this process would be.
NAB acquired its new majority stake in JBWere at a cost of $99 million along with an additional performance-related consideration to be calculated on business revenues generated over the next three years.
