Bain buyout fight shows allure of pensions

Insignia Financial

09/01/2025 04:46

(The author is a Reuters Breakingviews columnist. The opinions
expressed are his own.)
    By Antony Currie
       MELBOURNE, Jan 9 (Reuters Breakingviews) - The US
investment firm is competing with CC Capital to take Australia's
$1.7 bln Insignia Financial private. A new owner can accelerate
much-needed cost cuts but the target will struggle to grow.
Still, the deal is a rare chance to buy into the coveted
superannuation industry.
 
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    CONTEXT NEWS 
    
    Australian wealth and asset management company Insignia
Financial on Jan. 6 said it had received a non-binding,
indicative proposal from New York-based private investment firm
CC Capital Partners that valued the company's equity at A$2.9
billion ($1.8 billion).
    The A$4.30-a-share proposal is 7.5% higher than an offer
from Bain Capital that Insignia revealed on Dec. 13 and rejected
five days later. CC Capital's proposal is 41% above Insignia's
undisturbed share price at market close on Dec. 11.

 (Editing by Robyn Mak and Aditya Srivastav)
 ((For previous columns by the author, Reuters customers can
click on  CURRIE/ 
antony.currie@thomsonreuters.com))