Axa UK has confirmed it will acquire the whole of the Thinc Destini business for £100m.
The deal, as first revealed by Money Marketing in July, was confirmed this morning. It sees Axa’s formal offer to shareholders for £70m based on financial performance of the business during 2009.
Axa has agreed another £30m to refinance Thinc Destini’s debt, as accumulated through its IFA acquisition process.
Axa are buying the entire share capital of Thinc Destini under a newly created company, Advisory Services Limited.
The details of the golden handcuffs to be placed on key management are as yet unknown.
The transaction is subject to the satisfaction or waiver of certain conditions, including the Offer being accepted by Thinc Destini ordinary shareholders holding at least 90 per cent of the issued Thinc Destini ordinary shares.
Axa Sun Life chief executive Paul Evans says: “Axa UK believes this is a very exciting development for both Axa UK and Thinc Destini which, under our ownership, should benefit from the operational management expertise and global distribution experience of the Axa Group.
“Our intention is for Axa UK to run Thinc Destini as an independent advisory firm, separate from Axa UK ’s product provider businesses. We believe that this acquisition will help strengthen our overall UK market proposition by extending our offer to the provision of independent financial advice and planning services. This is consistent with our intention to grow our distribution capability and gain greater and closer access to our customers.”
Thinc Destini chief executive Simon Chamberlain says: “I am delighted that Axa UK is looking to acquire Thinc Destini and our Board has unanimously recommended all of our ordinary shareholders to accept the offer. The Thinc Destini board believes that this represents a good opportunity for us to build on the existing strengths of Thinc Destini under the ownership of Axa UK .”