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TORONTO - BMO (TSX:BMO) (NYSE:BMO) announced Thursday it has signed a definitive agreement to acquire Burgundy Asset Management Ltd. for approximately $625 million, payable in BMO common shares.
The acquisition will expand BMO Wealth Management’s capabilities in serving high-net-worth and ultra-high-net-worth clients. Burgundy Asset Management, founded in 1990, manages approximately $27 billion in assets as of May 31, 2025, for private clients, foundations, endowments, pensions and family offices.
The deal includes a $125 million holdback to be paid if Burgundy maintains certain assets under management 18 months after closing. An additional earn-out component may be paid based on achieving specific growth targets.
Upon completion, Burgundy will operate as part of BMO Wealth Management, with current Chief Executive Officer Robert Sankey continuing to lead the business. Co-founders Tony Arrell and Richard Rooney will remain with the company.
"Burgundy Asset Management is one of Canada’s most respected independent investment managers," said Deland Kamanga, Group Head, Wealth Management at BMO Financial Group.
The transaction, expected to close by the end of 2025, is subject to regulatory approvals and customary closing conditions.
Burgundy’s 150 employees serve clients from offices in Toronto, Vancouver and Montreal. KMS Capital, Origin Merchant Partners and PJT Partners (NYSE:PJT) acted as financial advisors to Burgundy, while BMO Capital Markets advised BMO on the transaction.
The information in this article is based on a press release statement from BMO Financial Group.
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