Perpetual (ASX:PPT) Reports Progress On Told Its Agm That The Wealth Management Sale To Bain Capital Is Targeted For Completion Before

Aditi Sarkar

29 October 2026 03:07 PM AEDT

Perpetual (ASX:PPT) Reports Progress On Told Its Agm That The Wealth Management Sale To Bain Capital Is Targeted For Completion Before

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Highlights

It reports that the Australian financial services licence variations from ASIC and ACCC approval have already been obtained.
Under the deal, Bain Capital would pay A$500 million upfront at completion, subject to customary adjustments.
Total dividends were 122.0 cents per share, including an unfranked final dividend of 63 cents.
Wealth Management revenue was A$233.5 million, with underlying profit before tax down 15% to A$44.0 million.

Perpetual (ASX:PPT) used its 2026 annual general meeting materials to update shareholders on the planned sale of its Wealth Management business to Bain Capital, its simplification program and trading for the September quarter. The business states completion of the sale is expected before the end of calendar year 2026, but remains subject to outstanding conditions, including regulatory and Court approvals. It reports that the Australian financial services licence variations from ASIC and ACCC approval have already been obtained.

The Wealth Management Sale

Under the deal, Bain Capital would pay A$500 million upfront at completion, subject to customary adjustments. Perpetual could also receive an advice performance payment of up to A$50 million at completion, with a mid-point of A$25 million, and an earn-out of up to A$50 million payable two years after completion. Perpetual keeps the Perpetual brand and would license the Perpetual Wealth and Perpetual Private brands to Bain Capital for 15 years.

The business states proceeds will go towards debt reduction and investment in Asset Management and Corporate Trust, and expects a net cash position after transaction and separation costs, tax and other adjustments. After completion, Perpetual would have two core businesses.

Fy26 Results Recap

Perpetual reports underlying profit after tax of A$217.0 million for FY26, up 6%, and statutory net profit of A$88.9 million against a statutory loss of A$58.2 million a year earlier. Operating revenue was A$1,374.2 million, flat. Total dividends were 122.0 cents per share, including an unfranked final dividend of 63 cents. Gross debt was A$629.3 million at 30 June 2026.

By segment, Asset Management revenue was A$880.5 million, with assets under management of A$224.4 billion and net outflows of A$25.1 billion. Corporate Trust revenue rose 8% to A$220.8 million. Wealth Management revenue was A$233.5 million, with underlying profit before tax down 15% to A$44.0 million.

September Quarter Update

For the first quarter of FY27, the company reports record Corporate Trust funds under administration of A$1.4 trillion. Asset Management outflows were A$9.6 billion, or A$8.4 billion excluding cash, and total assets under management were A$212 billion. Wealth Management funds under advice were stable at A$22.1 billion.

Takeover Approach And Strategy

Perpetual disclosed that it received an unsolicited, non-binding proposal on 1 July 2026 from Windflower Pte. Limited, understood to be indirectly controlled by EQT AB. Its best and final proposal was A$22.50 per share in cash, with an allowance for a dividend of up to 60 cents. The Board rejected it, announced on 21 September, concluding it was not capable of being recommended, and says the decision does not alter its strategic priorities.

Annualised cost savings reached A$72.6 million at 30 June 2026, against a A$60 million target. The company is targeting up to A$80 million by the end of FY27.

Governance And Voting

Director Christopher Jones will retire from the Board after the meeting, and a search for an independent non-executive director has begun. On remuneration, the CEO short-term incentive outcome was 106% of target, and no long-term incentives vested. The business states shareholders raised concerns about the use of statutory profit in incentive outcomes, which the Board will consider.

Proxy positions at the time of the presentation showed all four resolutions with votes in favour above 94%. Final results are not shown.

Risks And Next Steps

Perpetual flags that completion timing is uncertain, Asset Management outflows continue, and industry conditions for active management remain difficult. It also notes that franking is declining as more earnings come from overseas. Franking credits from the sale may support partially franked dividends from the second half of FY27, but this is conditional and not guaranteed.

FAQs

Q: What is the principal development covered in this update?

A: Perpetual used its 2026 annual general meeting materials to update shareholders on the planned sale of its Wealth Management business to Bain Capital, its simplification program and trading for the September quarter. The business states completion of the sale is expected before the end of calendar year 2026, but remains subject to outstanding conditions, including regulatory and Court approvals. It reports that the Australian financial services licence variations from ASIC and ACCC approval have already been obtained.

Q: What should readers watch next?

A: Perpetual flags that completion timing is uncertain, Asset Management outflows continue, and industry conditions for active management remain difficult.

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