Insignia denies yet another takeover bid

Insignia Financial has denied that it has received a takeover offer from global investment giant Brookfield Asset Management, in response to media speculation.

Making an announcement on the ASX, Insignia noted the speculation that Brookfield was actively weighing a bid, but said it was yet to receive any proposal from Brookfield.

Should an offer be made, it would mark the third takeover offer Insignia has had to consider since Bain Capital launched a $2.9 billion takeover offer late last year.

On 18 December 2024, Insignia rejected Bain's offer with the wealth manager saying the board believed the proposed transaction didn't adequately represent fair value to its shareholders.

Kicking off the New Year, Insignia then received another takeover offer on 3 January 2025 from New York-based CC Capital Partners.

CC Capital partners offered $4.30 cash per Insignia share, representing a 7.5% premium to Bain Capital's offer of $4.

In response, Insignia's board said it was considering the indicative proposal to assess whether it is in the best interest of shareholders to engage with CC Capital.

"There is no certainty that the indicative proposal will result in a binding offer or that any transaction will eventuate," the board said.

Insignia's major shareholders include a raft of superannuation funds and financial services companies.

Tanarra Capital is Insignia's largest shareholder with a 12.5% stake, according to the 2024 annual report, followed by Hostplus with a 9.1% interest.

Mitsubishi UFJ Financial Group and First Sentier Investors each hold an 8.3% interest.

Australian Retirement Trust holds 8.2%, State Street has 7.1% and Vanguard has a 5% interest.