MELBOURNE company IWL is seeking to bring together the two largest players in the outsourced equities clearing and settlement business, both of which originated in Perth.
IWL has already acquired Sanford, which was founded by Perth entrepreneur Stephen Goh, and is now looking to acquire JDV, established by stockbroker Hartleys in the days when that company was run by the equally entrepreneurial Tim Moore.
Ironically, both the Sanford business (now trading as IWL Broking Solutions) and JDV share premises in the building formerly known as Hartley Poynton, and IWL chief executive Otto Buttula believes the co-location highlights the potential for synergies.
IWL’s scrip offer values JDV shares at $1.02 per share, a 25 per cent premium to the recent trading average.
It is already entitled to 19.99 per cent of JDV after securing agreements with JDV shareholders Andrew Frazer (who used to work for Hartleys but is now a broker with Patersons Securities, which is advising IWL) and SG Hiscock & Co.
JDV chairman Peter Mansell advised shareholders to take no action until the board had considered all options, and noted that “JDV is in preliminary discussions with other interested parties”.
