United Bankers Plc acquires Suomen Pankkiiriliike Oy
United Bankers Plc publishes its official Company announcement and press releases in Finnish. This is an unofficially translated summary of the Company announcement published on 29.11.2017 in Finnish. If there are contradictions between the language versions, the official Finnish text applies.
United Bankers Plc acquires, as per 28.11.2017 signed contract, Suomen Pankkiiriliike Oy’s entire share capital. The sellers are Antti Asunmaa, Chairman of the board and other key executives. The sellers continue to work in the company. The transaction will be executed as an exchange of shares and implemented in early 2018, as long as UB receives authorization from its Extraordinary General Meeting and approval from the Financial Supervisory Authority.
The purchase price is 9 million euros, which UB will pay through a direct share issue. An additional purchase price totaling a maximum of 6 million euros will be paid based on the development of the business operations of Suomen Pankkiiriliike and its subsidiaries in 2018 and the amount of assets under management on 31 December 2018. In addition, the sellers are paid distributable funds according to the financial statements of Suomen Pankkiiriliike as of December 31, 2017.
Suomen Pankkiiriliike is an investment service group founded in 1997, which includes four subsidiaries in addition to the parent company. In addition, Suomen Pankkiiriliike holds 11 percent of the fund company Dividend House Oy. Suomen Pankkiiriliike has over 4,000 customers. The company’s assets under management are over 600 million euros (10/2017).
The merger between United Bankers and Suomen Pankkiiriliike is strategically important for both parties and is the largest financial transaction in United Bankers history. The merger of two strong investment groups will bring significant synergies over the medium term.
”We have been cooperating with Suomen Pankkiiriliike since 2010, so we know each other’s businesses and strengths well. Responding to digitalization trends, ever tightening regulation, and changes in the market environment and the competition is more successful when we put our resources together. The merger further increases our chances of investing even more in the quality of investment services, customer experience and the development of online and information services. With Suomen Pankkiiriliike, we will also significantly expand our distribution channels,” explains United Bankers CEO Patrick Anderson about the background of the merger.
The acquisition is estimated to have a significant positive impact on United Bankers’ net sales and EBITDA for 2018. The companies have overlapping businesses and merging them is expected to bring synergies already in 2018. Combining organizations can achieve efficiency and cost savings in, for example, administration, information system and online service environments, and marketing. In full these will be achieved in the beginning of 2019.
For more information, please contact:
Patrick Anderson, CEO, United Bankers Group
phone: +358 400 244 544, +358 9 25 380 236