CI Financial has agreed to acquire full ownership of the alternative fixed-income investment firm Lawrence Park Asset Management, in which it currently holds a minority stake.
Financial terms of the deal and the size of the stake were not revealed.
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Toronto-based Lawrence Park specialises in credit-focused strategies, including a hedge fund, a liquid alternatives fund and an ETF. It oversees about C$600m in assets.
CI Financial CEO Kurt MacAlpine remarked that Lawrence Park has been a valued partner for CI since 2012.
MacAlpine added: “We are thrilled to finally bring that expertise in-house. Alternatives offer an array of benefits and are becoming increasingly embraced by advisors and investors.
“Building on CI’s leadership in this category is a priority for us as we modernise our asset management business.”
Under the agreement, the Lawrence Park team will continue to manage its current funds. This includes CI Lawrence Park Alternative Investment Grade Credit Fund, and Lawrence Park Credit Strategies Fund.
The change in ownership will not change the team’s investment approach, which leverages a disciplined active portfolio management process.
Lawrence Park founding partner and CEO Andrew Torres said: “We share CI’s commitment to alternative investing and are excited to be part of the continued development of innovative mandates in this space.
“We look forward to integrating into the CI Global Asset Management organisation, with its extensive resources, research capabilities and distribution opportunities.”
The transaction, subject to regulatory approvals, is expected to close in the second quarter of the year.
CI Financial, which has been on an acquisition spree of late, agreed to buy American RIA Brightworth last month.
Last month, the company signed an agreement to access specialised services that are provided by Emigrant Bank’s subsidiaries for ultra-high-net-worth investors.
