ClearView Wealth has agreed to be acquired by Zurich Financial Services.
On 24 February, the two firms announced they had entered into a scheme implementation deed (SID) for Zurich to acquire 100 per cent of ClearView.
Under the terms of the SID, ClearView shareholders will receive scheme consideration of 65 cents per ClearView share less any dividend paid prior to implementation.
This represents a 21.5 per cent premium to the last closing share price on 23 February.
The board of ClearView “unanimously recommend that ClearView shareholders vote in favour of the scheme at the scheme meeting, in the absence of a superior proposal and subject to the independent expert concluding in the independent expert’s report (and continuing to conclude) that the scheme is in the best interests of ClearView shareholders.”
The firm’s largest shareholder group – private equity firm Crescent Capital Partners – which holds 53 per cent of shares also intends to vote in favour of the scheme.
Shares in ClearView have risen 40 per cent over the past year compared to gains of 8.8 per cent by the ASX 200 over the same period.
ClearView’s chair, Geoff Black, said: “We believe Zurich and ClearView are highly complementary brands in life insurance and that, if the Scheme is implemented, Zurich will be a great custodian to continue delivering ClearView’s ClearChoice product that protects what is most important to Australians.
“While we remain confident in the long-term outlook for the business and ClearView’s opportunity to continue its success, the Scheme enables ClearView shareholders to realise full liquidity and certain value for their ClearView shares.”
A scheme meeting for shareholders to vote on the deal is due to be held in mid-August, the firm said.
Meanwhile, ClearView announced the resignation of board director Gary Burg after 14 years, effective immediately, leaving the board with seven directors, four of whom are independent. Burg had joined the board in 2012 following its 80 per cent acquisition by Crescent Capital.
In an ASX statement, ClearView chairman Geoff Black said, “The board wishes to express its sincere thanks to Gary for his contribution and assistance to the board over the past 14 years. Gary’s experience and investment knowledge have proved extremely valuable to the company, and we wish him well in his future endeavours.”
ClearView previously exited wealth management in FY25 following a strategic review which found a lack of scale and limited growth options and is now focusing on life insurance. It had already exited the financial advice space in 2023 with the sale of a 24.4 per cent stake in Centrepoint Alliance.
Earlier this year, Zurich announced it had agreed to sell its investment management division to Russell Investments as it decided to focus on its operations in the Australian insurance market.
Justin Delaney, CEO of Zurich Australia & New Zealand, said: “The decision to divest ZIM reflects where Zurich is heading as an organisation, allowing us to continue to focus on our core operations in the Australian insurance market. Russell Investments brings global scale, deep investment capabilities and a strong local presence, making it an ideal partner for our advisers, investors, and employees.”