"One Billion acquisition on top of the recent (and fairly...

"One Billion acquisition on top of the recent (and fairly expensive according to a financial planner i know well) acquisition of another FP/superannuation outfit seems too much too fast. Why not consolidate and bed down what you have? "

There's nothing like a good old dose of the hard facts to separate sweeping statements such as those above, from what is happening in reality.

The most recent corporate transaction undertaken by IFL was the $72m disposal of the stake in Perennial Partners in late 2015.

And the most "recent" acquisition, namely the $658m purchase of Shadforths, took place almost a full two years ago. Any management team that can't "bed down" an acquisition over that time frame shouldn't be in the job.

And "bed down" is certainly what Shadforth well and truly is, inside the IOOF fold, with it earning 30% more in its first full-year under IFL's ownership (annualised DH2015 Underlying Net Profit for Shadforth of $64m, compared to $49m at the time of purchase in August 2014.)

As for it being "fairly expensive according to someone you know", maybe - instead of relying on the grapevine for the representation you make here - you should just spend a few minutes scanning a very few pages of the official, audited financial literature that the company goes to the trouble of making available for us investors (under the direction of the ASX and in a standardised manner, as prescribed by the accounting standards), in order to get to the real answer.

I'll save you the hassle:

Effectively, on the official figures reported to date, IFL has paid a P/E multiple of 10.3x for Shadforth (9.5x if the remaining synergies are realised).

Compared to those multiples, given the sorts of valuation multiples at which the earnings of most annuity-type businesses operating in the financial services sector are capitalised, if that's the form IFL management has in going about its acquisition strategy, I suggest that it is somewhat more desirable - rather than less so - that it does more of them.

I'm happy to underwrite any stock you decline to take up in any ensuing entitlement offer.