Link aims to float off PEXA

25 February 2021
| By Mike |
image
image
expand image

Big superannuation administrator, Link has moved further down the road of floating off its property settlement business, PEXA, after posting a decline in net profit after tax of $65 million.

Link, which is the major shareholder in PEXA, said today that the other shareholders – the Commonwealth Bank and Morgan Stanley – had agreed to explore the possibility of an initial public offering (IPO) for the business.

It represents a significant move by Link and the other shareholders in circumstances where PEXA recorded a strong half with a 27% increase in revenue to $99.2 million and a 90% lift in EBITDA to $51.5 million.

Commenting on the broader Link half-year result, the company’s chief executive, Vivek Bhatia said it had successfully navigated some challenging external conditions, demonstrating financial resilience.

He said the group reported EBITDA of $137 million and net operating cash flow of $192 million, having navigated the impacts of Brexit, COVID-19 and superannuation regulatory reforms including Protecting Your Super (PYS), Putting Members Interests First (PMIF) and the Early Release Scheme.

The company said it had handled 2.4 million early release superannuation payments valued at around $18 billion, and had managed contract renewals with Cbus and Hesta.

The Link board declared an interim dividend of 4.5 cents per share 60% franked.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

1 year 4 months ago
Kevin Gorman

Super director remuneration ...

1 year 4 months ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

1 year 4 months ago

Future Group is set to take on nearly $1 billion in funds under management (FUM) and welcome more than 100,000 new members following two significant successor fund transf...

10 hours 54 minutes ago

The International Monetary Fund (IMF) has issued a sobering assessment of the global economic landscape in its latest World Economic Outlook, dramatically revised after D...

13 hours ago

Growth from the listed company’s key businesses has propelled Generational Development Group to new milestones in the three months to 31 March....

13 hours ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND