Sydney, 5 August 2015: ASX-listed Austbrokers Holdings Limited (ASX:AUB) today announced its new equity partnership with Allied Health Australia, a leading occupational health and safety rehabilitation service provider.
The partnership is further evidence of the progress of Austbrokers’ risk management strategy, which was initiated two years ago. This strategy has already resulted in the generation of broader sources of revenue and profit, and adding Allied Health Australia into the mix advances its vision of becoming the leading insurance and risk management partner to businesses in Australia and New Zealand.
The deal stays true to the Owner-Driver business model of Austbrokers and involves Austbrokers acquiring 60% of the equity of Allied Health Australia.
“This acquisition reinforces Austbrokers’ disciplined approach and appetite to deliver on its strategy. Austbrokers has long signalled its intention to expand scale in risk services provision, and take our highly successful Owner-Driver business model further into this market segment,” said Austbrokers Holdings CEO and Managing Director, Mark Searles.
In the risk services sector, Austbrokers Holdings has already formed highly successful equity partnerships with a number of leading companies.
“With the addition of Allied Health Australia, we further expand our capacity to offer total risk management outcomes to clients, a cornerstone of our ambition to be Australia’s leading risk management group.
“Additionally it drives diversified revenue to the group, mitigating the effects of the insurance cycle – something we have long signalled as a strategic objective.
“Today’s announcement is a key step to confirm our position as one of Australasia’s leading insurance and risk management specialist. We’re excited by the future and the possibilities it presents,” said Mr Searles.
Allied Health Australia owns highly successful injury management businesses Pinnacle Rehab and Peak Conditioning. The companies provide a range of services under the NSW Work Cover scheme, working with the managing agents as well as services direct to clients. Together with our existing partners, the addition of Allied gives the Group a leading position in the NSW return to work services market and helps provide the platform to focus on organic growth and opportunities in other key states.
“We could not be more pleased about joining a group of Austbrokers Holdings calibre. Our businesses form a natural fit and we are looking forward to leveraging our combined strength for the benefit of clients,” said Kevin Garvey and Lance Morton, Directors of Allied Health Australia.
Mr Searles concludes “We’ve spent the last 30 years establishing our highly successful Owner-Driver business model, made possible through building mutually beneficial partnerships with exceptional businesses like Allied Health Australia. I’m pleased that our business model is equally effective as a platform for growth across the Group’s different market segments, providing the benchmark model for sustainable growth in highly competitive markets.”