The transaction is expected to close in the third quarter and is conditional on regulatory approvals in Australia and the United States. Principal beat out a number of other bidders that floated to the surface when Deutsche Bank announced in March it would sell BT Australia Group upon completion of its own acquisition of Bankers Trust Corp., which occurred earlier this month. Principal probably also paid a lot extra for the business because it will just turn around in a short time and sell off the investment banking business for a tidy sum, which can be lopped off the acquisition cost right away. So the probable reason that Principal paid such a high multiple is the strong market position it gives them in Australia - especially since they had virtually no operations there.
Time is too precious with uncertainty.