A renewed bidding war for Insignia Financial, the wealth management group that owns MLC, has intensified as private equity firms Bain Capital and CC Capital increased their offers to $5 per share. Insignia has granted exclusivity to both parties, citing the best interests of shareholders, allowing them a six-week due diligence period. The revised bids represent an 8.7% increase from the previous $4.60 offers made by Bain and CC Capital, valuing Insignia at approximately $3.4 billion.
Brookfield Capital Partners had previously entered the fray, matching the initial $4.60 bid in February. The heightened competition underscores the perceived value and potential of Insignia within the wealth management sector. The outcome of the due diligence period and the final acquisition terms will be closely watched by investors and industry analysts, as it could significantly reshape the competitive landscape of Australian wealth management.