Bravura Solutions acquires Powerlan’s Garradin business to strengthen managed accounts offering

Sydney - 29 May 2007

Bravura Solutions Limited (Bravura), a leading global supplier of wealth management applications and professional services, today signed an agreement with Powerlan Limited (Powerlan) to acquire all shares in Garradin Pty Ltd for at least $10 million.

The final sale price depends on Garradin Portfolio Investment Management Solutions’ (Garradin) performance during the agreed 12-month earn-out period.
The acquisition of Garradin will increase Bravura’s client base to more than 175 financial institutions globally, and make Bravura the largest managed accounts software provider by assets under management to Australian fund managers. Bravura will gain about 20 staff under the acquisition and expects to integrate Garradin’s operations into Bravura’s existing offices in Sydney and Melbourne following completion.

Mr Iain Dunstan, Bravura Group CEO and Managing Director, said: “Bravura is well positioned to acquire and grow the Garradin business as there are strong synergies between the companies. Both have significant experience in developing software solutions to administer a comprehensive range of financial products.
“One of the key reasons we pursued Garradin is its retail portfolio management expertise with SMAs (Separately Managed Accounts) and IMAs (Individually Managed Accounts). Our alignment with Garradin complements and significantly strengthens Bravura’s strategic position in the managed accounts market – a market that is expanding at a rapid pace globally.

“There are also exciting cross-selling opportunities between our companies, and the expertise of Garradin’s staff will significantly improve Bravura’s consulting, development, support and testing capability for existing and potential clients. Additionally, this acquisition reinforces Bravura’s position as a leading application provider for Wrap accounts.”

Mr Jon Newbery, Chief Executive Officer of Powerlan, said: “Over the past few years we have built Garradin into a successful business, and we believe its acquisition by Bravura is the next step in taking Garradin’s distinct offering to a wider market.

“The deal with Bravura has the full support of Powerlan’s board. It provides further value to our shareholders and is in the best long-term interests of our clients and employees. The sale also enables management to continue to focus on the Clarity Next Generation OSS business and provide further support to ConverterTechnology and IMX.

“This agreement is further proof of Powerlan’s capacity to develop emerging businesses for the benefit of our shareholders, as we did with FinancialBPO, which we nurtured and subsequently sold in 2005 to Computershare. Further acquisitions will be considered in line with the ongoing strategic direction of the Group.”

Bravura’s acquisition is subject to further due diligence and is expected to be completed in late June 2007. It will be earnings accretive for fiscal year 2008.

The merger builds on the seven acquisitions Bravura has already made since establishment in 2004, including the purchases of The Bank of New York’s Rufus Software Business and Luxembourg-based AB Prodata in December last year.

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