Notes to the Financial Statements
The remaining 8.4 million shares were subsequently sold on the market from 17 November 2023, at an average exit price of circa 27 cents per share, representing total consideration of $2.2 million (net of costs of sales). Before the sales, the carrying value of the investment in associate was $13.1 million (net of impairment of $1.6 million). The sale resulted in $2.2 million gain from sale. ClearView has fully divested the investment in associate and holds no Centrepoint Alliance’s shares as at 30 June 2024. The Centrepoint Alliance transaction has been equity accounted until the date of sale, contributing $0.6 million in FY24 (FY23: $0.7 million). 8.3 Transactions between the Group and its related parties Other related parties include: • Entities with significant influence over the Group; • Associates; and • Subsidiaries. Balances and transactions between the Company and its subsidiaries, which are related parties of the Company, have been eliminated on consolidation. Details of balances between the Group and other related parties during the financial year ended 30 June 2024 are outlined below. The ultimate parent entity in the Group is ClearView Wealth Limited which is incorporated in Australia.
CASPL was incorporated to centralise the administrative responsibilities of the Group which includes being the employer of all staff within the Group. CASPL recoups all expenditure by virtue of a management fee from the various group companies and operates on a cost recovery basis (in accordance with an inter group agreement). CWL is regulated as a Non-Operating and Holding Company by the Australian Prudential Regulation Authority ( APRA ) under the Life Insurance Act 1995, and via its subsidiaries, holds an APRA life insurance licence ( CLAL ), and APRA registrable superannuation entity ( RSE ) licence ( CLN ) and an ASIC funds manager responsible entity ( RE ) licence ( CFML ). The consolidation of the unit trusts is based on the Company’s power over the relevant activities of the unit trusts and the significance of its exposure to variable returns of the unit trusts (that is CLAL owns more than 50% of total units or is a major unitholder of the unit trusts) . 8.2 Investment in associate ClearView acquired a strategic 24.5% stake (48 million shares) in Centrepoint Alliance Limited (Centrepoint Alliance) on 1 November 2021 as part of the sale of its financial advice businesses to Centrepoint Alliance. On 17 November 2023, ClearView announced the sale of approximately 39.56 million shares in Centrepoint Alliance to COG Financial Services Limited ( COG ), at a share price of 33 cents per share representing total consideration of $13.05 million. The sale shares represent approximately 19.9% of Centrepoint Alliance’s issued capital.
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ClearView Wealth Limited
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