Trustee assets lifted

By RICHARD BRADDELL

Tower expects to boost profit between $A1 million and $A2 million a year from the expansion of its Australian trustee operations through the takeover of IOOF Australia Trustees.

IOOF has offices in Melbourne, Adelaide and Sydney.

The acquisition, for an undisclosed price, boosts Australian trustee assets under supervision by $A1.2 billion ($1.5 billion) to $A6 billion.

New Zealand trustee assets total $A27 billion, taking the group total to $A34.5 billion.

Managing director James Boonzaier said Tower already had critical mass in the Australian trustee market and the IOOF buy would boost earnings per share within a year.

The purchase is subject to regulatory approval.