Euroz Hartleys eyes $145M capital markets sale

Euroz Hartleys Group (ASX:EZL) has responded to recent media speculation regarding the potential sale of its capital markets business.

Addressing reports originally published in the Australian Financial Review, the company confirmed it is currently engaged in discussions with Canada’s BMO Financial Group.

BMO has submitted a confidential, non-binding, and conditional proposal to acquire Euroz Hartleys' Capital Markets division for a cash consideration of $145 million.

Under the terms of the current proposal, Euroz Hartleys would retain 100% ownership of its Private Wealth business.

The transaction remains subject to several strict conditions, including satisfactory due diligence, the execution of definitive documentation, and the establishment of an alliance between BMO and Euroz Hartleys' remaining Private Wealth arm to preserve their interconnected operations.

To facilitate these talks, the Euroz Hartleys Board has granted BMO an exclusivity period running until June 30 to complete its due diligence.

While the board notes that discussions are ongoing, it has explicitly warned shareholders that there is no certainty a transaction will eventuate. Shareholders are advised that no action is required.