GMP Capital Inc. (GMP), Canada’s second- largest non-bank brokerage by assets, agreed to sell funds to Fiera Capital Corp. (FSZ) for C$10.75 million.
GMP said it will sell funds including its GMP Diversified Alpha Fund and the Canadian ABCP Fund, representing about C$570 million ($575.6 million) in assets under management, the Toronto-based firm said today in a statement.
The assets will continue to be managed by Jason Marks, chief executive officer of GMP’s GP Investment Management unit and other managers, who will join Montreal-based Fiera. GMP will be entitled to 25 percent of performance fees earned from the assets for three years, the firm said.
GMP also named Dan McClure as co-CEO of GMP Investment Management. He’ll succeed Marks when the transaction closes, expected in the first quarter.
Marks and the other managers will have a minority ownership interest in a newly created Fiera unit that will hold the assets, Fiera said in a separate release.
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