SA stockbroking firm bought by Sydney investor media company
A more than 40-year-old Adelaide-based stockbroking firm has been acquired by ASX-listed Equity Story Group.
Adelaide-based Baker Young Limited has been acquired by ASX-listed Equity Story Group for up to $4.2 million.
The deal expands Equity Story Group into retail stockbroking for the first time.
Baker Young Limited is a more than 40-year-old firm founded by David Baker and Alan Young, who will each receive 5 million options to purchase shares in EQS at 5 cents each.
Young is the chairman of Solstice Media – the owner of InDaily – and Baker Young Limited provides stock market research for InDaily’s Winners & Losers column.
According to EQS, Baker Young Limited has more than $700 million in funds under management, $180 million under managed discretionary accounts, and $4.2 million in FY24 revenue.
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The company has more than 40 years of heritage and a loyal client base of more than 6000 accounts. It offers share brokerage services, portfolio management and wealth advisory services and capital raising advice.
Equity Story Group – an investment media company that supports investors with research, education and other tools – said the deal expanded its wealth management division and enhances its national footprint.
“Equity Story sees strong synergies between its proprietary CTM (chart, timing, momentum) trading system and Baker Young’s fundamental research-driven approach, offering clients a unique blend of technical and fundamental insights,” Equity Story said.
In a joint statement, Young and Baker said: “We’ve spent four decades building Baker Young on a foundation of trust, personalised service, and consistent performance”.
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“Joining Equity Story allows us to continue that tradition while expanding our reach, resources and digital capabilities.
“We’re energised by the vision Shane White, Brendan Gow and the EQS team are pursuing, and we’re proud to be a part of it.”
As part of the deal, Young and Baker will remain with the business in “key roles to ensure a seamless transition”, while the Baker Young brand will become a division of Equity Story.
Under the terms of the transaction, Equity Story’s $4.2 million cash acquisition comprises an upfront payment of $3 million and an earn-out component of $1.2 million, payable subject to Baker Young satisfying certain conditions over a 10-month post-completion period.
Equity Story CEO Shane White said the acquisition signalled “a new phase of growth, ambition and capability for Equity Story”.
“This opportunity expands our wealth advisory platform, strengthens our corporate advisory reach, and delivers national scale – all while remaining deeply aligned with our mission to improve investment outcomes for Australians,” White said.
“Importantly, this significant acquisition and outstanding service offering would not have been possible without the exceptional business that Alan Young and David Baker have build over the past four decades as Master Stockbrokers with an acute focus on client wealth.”
