Australian wealth manager Insignia Financial has extended exclusivity for Bain Capital and CC Capital by four weeks, giving both private equity firms additional time to finalise a proposed $2.13bn acquisition.

The extension follows formal requests from both bidders and maintains momentum behind takeover discussions that began in March, when Bain and CC Capital were granted access to Insignia’s books after raising their competing offers to AUD3.34bn.

Bain Capital is already a familiar name in the Australian market, having acquired Virgin Australia out of administration in a high-profile deal. CC Capital, based in New York, is aiming to expand its global footprint by entering Australia’s rapidly growing wealth management sector.

News of the extension boosted investor sentiment, with Insignia shares climbing 3.9% to AUD3.73 in early Thursday trading, outperforming the broader ASX 200 index.

While the exclusivity period extension signals strong interest from both private equity firms, the deal remains in progress and is not yet guaranteed.

Source: Reuters