Private equity firm Onex has agreed to take over Canadian wealth management firm Gluskin Sheff + Associates for nearly C$445m ($331.4m).
Gluskin Sheff, set up in 1984, caters to HNW private clients as well as institutional investors.
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Under the agreed terms of the transaction, Onex will purchase 100% of Gluskin Sheff equity for C$14.25 a share.
The combined group is said to address investment needs across both private and public markets.
Onex chairman and CEO Gerry Schwartz said: “By combining Gluskin Sheff’s public securities investing platforms with Onex’ private equity and private debt platforms the clients of both firms will have greater investment options.”
Gluskin Sheff will retain its brand and management team following the acquisition.
The deal is expected to be wrapped up in the first half of this year, subject to shareholder and regulatory nod.
In the event of the transaction not materialising, Gluskin Sheff has to pay C$13.3m in termination fee to Onex.
Gluskin Sheff president and CEO Jeff Moody said: “This partnership will provide us with the resources to better serve all of our clients and expand our product offerings with alternative investment strategies.”
Moody calls the two firms a “strong cultural fit”.
The deal already secured the green light from Gluskin Sheff’s board.
