Paul Barrett
AZ Next Generation Advisory (“AZ NGA” or the “Group”), a professional advisory firm, has entered a strategic growth partnership with funds managed by Oaktree Capital Management L.P., (“Oaktree”), a leading global investment management firm specialising in alternative investments, to support the Group’s ambitious growth plans. As part of this agreement, Oaktree will invest A$240 million and become the largest shareholder of AZ NGA, while Azimut Group (“Azimut”), Management and current shareholders will continue to retain a strategic stake in the Company.
AZ NGA strategically invests in leading financial planning and accounting businesses with the goal of fostering growth and enhancing operational efficiencies to deliver superior services to clients. AZ NGA’s network of 34 partner firms, including financial advice and accounting businesses and a number of service providers to the financial services industry, collectively manages $15.1bn of assets under advice, as of 31 August 2024.
Through this partnership, AZ NGA, Azimut and Oaktree will work together to accelerate acquisition and integration activity and enhance AZ NGA’s position as the growth and succession partner of choice for financial advisory and accounting firms in Australia.
“We are excited to work with a world class strategic investor like Oaktree as we execute our strategy and deliver on our promise to our people, community and clients,” said Paul Barrett, AZ NGA Chief Executive Officer. “With strong momentum to-date and an attractive pipeline of M&A opportunities, AZ NGA is strongly positioned for accelerated growth alongside Azimut and Oaktree.”
Massimo Guiati, Chief Executive Officer, Azimut Holding and AZ NGA Chairman said: “Azimut is committed to AZ NGA and the Australian market for the long-term. This transaction brings AZ NGA a step closer to achieving its vision of being Australia’s leading professional advisory firm, and we look forward to working with Oaktree to continue supporting AZ NGA in its next chapter of growth.”
Byron Beath, Managing Director at Oaktree commented: “AZ NGA and the leadership team have established themselves as the growth and succession partner of choice for high performing financial planning and accounting firms. Oaktree has invested in financial services platforms globally, such as Ascot Lloyd and Atomos, and we look forward to enhancing AZ NGA’s strong market position and sharing Oaktree’s seasoned investment philosophies to deliver even greater value to AZ NGA’s retail and wholesale clients. We will work together to achieve our shared vision of AZ NGA as Australia’s leading consumer financial services advisory firm.”
Co-Portfolio Managers of Oaktree’s Special Situations Strategy, Matt Wilson and Jordon Kruse added: “We are extremely excited to be part of this next stage of growth for AZ NGA and we look forward to partnering with Azimut, Paul and the entire AZ NGA network to fuel AZ NGA’s further expansion through our global experience, resources and network.”
The transaction is expected to close in the fourth quarter of 2024, subject to regulatory approvals. 2 / 2
Azimut and AZ NGA are being advised by Jefferies Australia as financial adviser and Corrs as legal adviser on the transaction.
Oaktree is being advised by Jarden as financial adviser and Clifford Chance as legal adviser on the transaction.