Steadfast agrees to buy Insurance Brands Australia for up to $301m and will make an initial payment of $276m of cash from existing debt facilities, plus scrip, with an additional payment of up to $25m payable subject to performance criteria.
The acquisition is expected to be EPS accretive in first full year pre synergies.
Steadfast also sees a Trapped Capital acquisitions potential pipeline of approximately $400 million representing about 9 per cent of Steadfast Network gross written premium and expects $220m of Trapped Capital acquisitions will be completed in FY23.
It launches a fully underwritten $225m Institutional Placement and plans to offer a non-underwritten Share Purchase Plan to raise up to an additional $25m.
Proceeds will be used to fund ongoing Trapped Capital pipeline acquisitions.
Underlying FY22 NPAT rises 29.3 per cent to $169m, with underlying EBITDA up 29.5 per cent to $340.4m.
A final dividend of 6.8 cents a share will be paid, up 11.4 per cent.
For FY23, the company expects underlying EBITA of $400-$420 million, underlying NPAT of $190-202 million and underlying diluted EPS growth of 5-11 per cent
