Stake's Selfwealth bid sets off race to consolidate in online broking
The online broking industry looks ripe for consolidation as smaller players such as ASX-listed Selfweath get sized up.
With the intoxicating days of the pandemic online trading boom behind them, it’s now a game of survival as Australia’s online brokers go hunting for scale.
Stake has made the first move, targeting its smaller ASX-listed rival Selfwealth with a non-binding and indicative takeover bid that valued the company at just north of $40 million.
On Friday Selfwealth cut those discussions short, saying it had rejected an “incomplete and conditional proposal”.
But the broker made sure to leave the door ajar for another approach, revealing it “regularly considers opportunities for industry consolidation as a means to optimise value for Selfwealth shareholders”.
