Cape Town - The Appleton Group has acquired the Dublin-based Gaiacorp Ireland and Beacon Systems for R12 million as part of the company's strategy into the international investment services market.
Gaiacorp is one of the oldest European-based currency advisory businesses and has $54 million in assets under management and a further $155 million under advice.
Bruce Sneddon, the managing director at Appleton, said Gaiacorp was a "great company", which had made taxed profit of over $200 000 in the first three months of this year. Appleton would consider other offshore acquisitions of such quality, should the opportunity present itself, said Sneddon.
Regulatory approvals had been granted by the Reserve Bank and the Central Bank of Ireland. The deal would be settled in cash and Gaiacorp had applied to be renamed Appleton Capital Management.
Scott Campbell, London-based executive director of Appleton, said the acquisition of Gaiacorp complemented the group's multi-management business in the Channel Islands.
"It provides Appleton with an institutional base in the infrastructure and skills base in Dublin to expand our institutional business in both our core traditional multimanager business and the alternative investment sector," said Campbell.
Appleton's global asset management operations had shown strong organic growth over the past three years. The group now managed assets of R1,4 billion offshore through its business in Guernsey and Dublin.
The Appleton group would manage assets of more than R3,3 billion once approval had been granted for the deal with Real Africa Durolink and AFC, its asset management businesses.
Appleton's fell 5c to R4,40.