Magellan Financial Group agreed on 2 March to merge with Barrenjoey Capital Partners, issuing new shares worth an implied A$903m for the part of the Sydney investment bank it did not already own.
Why Magellan Financial Group Ltd is buying Barrenjoey Capital Partners
Magellan's board said the merger would improve diversification and resilience, enhance the offer to clients, help retain and attract talent and create a stronger combined balance sheet. Barrenjoey generated A$522m of revenue and A$108m of adjusted NPATA in 2025.
Deal terms and financing
Magellan will issue 106.8m shares at completion, 92.6m to Barrenjoey employees and nominee directors and 14.2m to a Barclays affiliate. Ahead of the merger it raised up to A$130m in a placement at A$8.45, plus a share purchase plan, to lift its economic interest. Consideration shares to Barrenjoey parties are subject to vesting and escrow averaging about 5.5 years.
Regulatory approvals and timing
Conditions included Australian competition approval, Hong Kong regulatory approval and shareholder approval under ASX Listing Rule 7.1. Shareholders approved the issue on 10 April and Magellan announced completion on 1 July 2026 (ASX announcement, 1 July 2026).
Market context
The deal leaves Magellan's existing strategic partnerships with Vinva Investment Management and FinClear unchanged. After completion Benari became group chief executive and Gonski independent chair, and the company proposed changing its name and ticker to Barrenjoey Group (BJY) at its October 2026 annual meeting.
