• Acquisition of 100% of Evidentia Group Holdings for $320m up-front
• Potential earn-out of up to $40m based on FY26 revenue growth
• Acquisition to be funded through $287.9m equity raising, including $30m for synergies and growth

Generation Development Group Limited (ASX:GDG) has entered into a binding agreement to acquire 100% of Evidentia Group Holdings Pty Ltd (Evidentia), one of Australia's leading providers of investment management and tailored Managed Account solutions. The up-front enterprise value for the acquisition is $320.0m, subject to customary completion adjustments, with a potential earn-out of up to $40.0m based on the combined Evidentia and Lonsec's Managed Accounts business achieving FY26 year-over-year revenue growth of 46%. The acquisition will be funded through a $287.9m equity raising, comprising a $114.4m institutional placement and a $173.5m accelerated non-renounceable entitlement offer. The equity raising also includes $30.0m of additional capital to support synergy and implementation costs, as well as future growth opportunities in the Evidentia business. The acquisition is expected to be low double-digit EPS accretive in the first full year of ownership (FY26) and deliver other material benefits. Evidentia is one of Australia's leading providers of investment management and tailored Managed Account solutions, with a proven track record of growth, strong performance, and an outstanding reputation amongst clients and peers.

The acquisition is expected to be low double-digit EPS accretive in the first full year of ownership (FY26).

The combined business will emerge as a market leader with ~$25bn of FUM across the broader tailored SMA, off-the-shelf SMA and MDA segments. Evidentia has a clear aspiration, pipeline and track record supporting continued growth, targeting >$28bn in FUM and $21m in EBITDA in FY26.