Abu Dhabi-based Mubadala Capital has announced that it has successfully completed the acquisition of CI Financial Corp, one of North America’s leading diversified asset and wealth management companies.
The C$12.1 billion ($8.7 billion) transaction marks a significant milestone in Mubadala Capital’s growth ambitions, accelerating its expansion into private wealth management and cementing its position at the forefront of a rapidly evolving sector.
The transaction was completed by way of a statutory plan of arrangement under the Business Corporations Act (Ontario). Pursuant to the terms of the Arrangement, among other things, Mubadala Capital acquired all of the issued and outstanding common shares of the Corporation for cash consideration equal to C$32 per share, other than rollover shares.
The transaction valued CI’s equity at approximately C$4.7billion and implies an enterprise value of approximately C$12.1 billion.
With this transaction, Mubadala Capital now manages, advises, and administers for clients andlimited partners over $430 billion in combined assets through its asset managers and strategicpartners, including CI and its affiliates.
The scale underscores Mubadala Capital’s vision to builda leading asset management platform that combines institutional-quality alternative investments across multiple asset classes and geographies, including private equity, credit, special opportunities with a focus on Brazil and other alternative investments, with comprehensive wealth management services.
On the key transaction, Kurt MacAlpine, Chief Executive Officer of CI said: "This is an exciting new chapter for CI. In Mubadala Capital we’ve found the perfect partner –one who shares our aspirations and is committed to supporting the next phase of our journey. Together, we are uniquely positioned to expand our capabilities, accelerate growth and unlock even greater value for the clients we serve."
As per the deal, CI’s headquarters remains in Toronto and the firm continues to operate independently under its current corporate structure, strategy, brand names and management team, led by MacAlpine.
The CEO is rolling all of his equity into the continuing company in partnership with Mubadala Capital, demonstrating his commitment to their shared vision for CI.
"CI Financial is an incredible business that aligns closely with Mubadala Capital’s long-termvision and strategy," remarked Hani Barhoush, the CEO and Managing Director of Mubadala Capital.
"By combining CI's wealth management expertise and long-standing client relationships with our
alternative investment capabilities and global reach, we are building a differentiated platformfocused on the thoughtful stewardship of capital — helping clients grow, preserve, and managewealth across generations, while driving innovation in how wealth is served," he added.-TradeArabia News Service
