MA Financial Group (ASX: MAF) has announced the acquisition of IP Generation, a specialist real estate investment management firm focused on Australian shopping centers. This acquisition will increase MA Financial’s assets under management (AUM) to over $12 billion. IP Generation manages approximately $2 billion in assets across 10 unlisted funds, serving around 1,100 high-net-worth investors.
The fixed consideration for the acquisition is approximately $90.4 million, representing a 7.9x multiple of normalized FY24 EBITDA. The consideration will be primarily in MA Financial shares, subject to long-term escrow. MA Financial expects the acquisition to be accretive to its FY25 underlying earnings per share on a full year pro forma basis. Senior executives from IP Generation will remain with the business, assuming key leadership roles within the combined real estate asset management team. Chris Lock, Founder and CEO of IP Generation, will become Head of Core Real Estate at MA Financial, while David Blight, IP Generation’s Chairman, will serve as Executive Chairman – Core Real Estate.
MA Financial believes this acquisition will strengthen its position to capitalize on favorable conditions expected in the real estate sector. The combined entity will manage approximately 40 retail assets and have a diverse investor base including wholesale, retail, and institutional investors. The company’s real estate asset management platform will boast approximately $8 billion of AUM across core real estate, alternative real estate, and real estate credit.
According to Julian Biggins, Joint CEO of MA Financial, the acquisition strengthens real estate management capability and will mutually benefit investors. Chris Lock highlighted the cultural alignment between the two firms and anticipates delivering attractive investment opportunities and returns. The transaction is subject to customary conditions precedent and is expected to close in early 2H25.
