Sequoia Addresses ASIC Court Move as It Pushes Ahead With InterPrac Sale

Sequoia Financial Group Ltd. ( (AU:SEQ) ) just unveiled an update.

Sequoia Financial Group has provided an update on the proposed sale of its subsidiary InterPrac Financial Planning to Conquest Investment Partners, following ASIC’s move to seek a court-appointed receiver over guarantees contained in an ASIC cross deed of guarantee. The receiver’s role would be limited to assessing whether the transaction is a bona fide sale on fair and reasonable terms and reporting on InterPrac’s financial position and solvency, without restricting InterPrac’s day-to-day trading or blocking completion of the sale.

Sequoia disputes ASIC’s concern that the sale could harm InterPrac’s creditors, including exposures linked to AFCA complaints over the Shield Master Fund and First Guardian Master Fund, and notes that only two AFCA determinations against InterPrac have arisen so far. The company is also working with ASX to determine whether shareholder approval is required under Listing Rule 11.2 and has committed to seeking such approval if needed, while stressing its intention to progress the divestment in an orderly and transparent manner and keep the market updated as regulatory and court processes unfold.

The most recent analyst rating on (AU:SEQ) stock is a Hold with a A$0.26 price target. To see the full list of analyst forecasts on Sequoia Financial Group Ltd. stock, see the AU:SEQ Stock Forecast page.

More about Sequoia Financial Group Ltd.

Sequoia Financial Group Ltd. is an ASX-listed financial services company that operates a portfolio of businesses, including InterPrac Financial Planning. It focuses on wealth management and related advisory services, providing licensed financial planning and support to advisers and their clients across the Australian market.

Average Trading Volume: 206,544

Technical Sentiment Signal: Sell

Current Market Cap: A$26.97M

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