Prime acquires Lincoln Indicators

Publicly-listed Prime Financial Group has moved further into the wealth sector via a move to acquire 100% of investment research and funds management business, Lincoln Indicators.

Prime announced to the Australian Securities Exchange (ASX) that it had entered into binding agreements to acquire 100% of Lincoln Indicators in a transaction valued at $15.75 million.

The ASX announcement said the acquisition would further expand Prime Wealth’s offering and significantly increase its distribution capability, including access to a further 3,300 high net worth investors.

It said the acquisition delivered on Prime’s strategy of growth through complementary and earnings per share accretive acquisition.

The announcement said Lincoln Indicators has a favourable financial profile and will represent a small contribution to revenue in FY25 and anticipated future revenue of $10 million to $11 million annually.

It said the total consideration was $15.75 million for on target EBITDA performance, or potentially $17.9 million if earnings targets are outperformed payable as an approximate mix of 80% cash and 20% shares with payments to be made over a three-year period.