Australian wealth management tech company Praemium reduces IT headcount

Praemium, an Australian company specialising in the provision of technology platforms for managed accounts, investment administration and financial planning, has announced it will be undertaking a significant organisational restructure focusing on its technology division.

The restructure will see a reduction of a significant number of duplicate IT development, maintenance and infrastructure roles, owing to the acquisition of Technotia Laboratories - a specialist in advanced technology and computing machinery and intelligence - last month.

Following the integration of Technotia Laboratories' capabilities with the current Praemium technology division, the restructure will see a reduction of full-time staff based in Australia and the closure of software development operations in Armenia by the end of the 2026 financial year.

Despite the cost reduction, Praemium said it is "very confident" that its underlying technology performance, functionality and automation will be enhanced with the skills and capabilities acquired from Technotia Laboratories.

The company will be undertaking a consultation process with Australian employees in affected roles and the restructuring, once it has been implemented, is anticipated to reduce headcount by around 15% and direct staff salaries by around $9 million.

The Armenia reduction is expected to further reduce headcount by ~13% off the pre-restructure base and reduce direct staff salaries by around $3.5 million.

After adding back the salaries associated with the Technotia Laboratories team, Praemium’s overall annual technology salary budget, excluding incentives, is expected to reduce on a run rate basis by around $9 million from before the acquisition. Any savings in the 2026 financial year will be offset by redundancy costs, expected to be ~$3.3million.

"Technotia Laboratories’ advanced scientific and technology capabilities, and our newly acquired status as an employer of choice for outstanding scientists, system developers and user experience design specialists, will open up new and exciting opportunities for Praemium in automation, and as a fintech hub," Anthony Wamsteker, CEO of Praemium said.

"Whilst we are implementing advanced technology, AI and automation, we also acknowledge the impact on our team, many of whom have been with the company for a significant part of its growth and have provided unwavering support.”

Further details of the impact of the acquisition of Technotia Laboratories and the restructuring on operating costs and capital expenditure will be provided during the half year results announcement on 23 February 2026.