TORONTO, Sept. 2, 2011 /CNW Telbec/ - B2B Trust, a subsidiary of
Laurentian Bank (TSX: LB), and Mackenzie Financial Corporation
(Mackenzie Investments), a subsidiary of IGM Financial Inc. (TSX: IGM),
today announced that they have entered into an agreement under which
B2B Trust will acquire 100% of M.R.S. Trust Company and M.R.S. Inc.
(the "MRS Companies" or "MRS") in a share purchase transaction. B2B
Trust will acquire the MRS Companies for cash consideration of
approximately $165 million and will repay $20 million of subordinated
indebtedness of MRS to Mackenzie Investments. The transaction is
expected to close in November 2011 subject to applicable regulatory
notifications and approvals.
The MRS Companies will be integrated with B2B Trust to create a
best-in-class provider of products and services dedicated to the
Canadian financial advisor community. The combined entities will serve
over 22,000 advisors.
M.R.S. Trust Company currently provides deposit and lending products.
M.R.S. Inc. and its wholly-owned subsidiaries, M.R.S. Securities
Services Inc. and M.R.S. Correspondent Corporation, currently provide
account administration services to over 135 dealer firms and over
14,000 financial advisors. Total assets under administration are
approximately $21.5 billion with more than 280,000 investor accounts
placed through financial advisors. B2B Trust is recognized for its
competitive array of banking products, including investment and RSP
loans, deposits, investment accounts and residential mortgages. B2B
Trust's loan and deposit portfolios total $5 billion and $9 billion,
"The acquisition of the MRS Companies will provide B2B Trust with new
growth opportunities by expanding our distribution through a greater
reach within the advisor community", said François Desjardins,
President and CEO of B2B Trust. "Both MRS and B2B Trust are dedicated
to the Canadian financial advisor community, and the integration of our
two firms will create a best-in-class provider of products and services
specialized for this market. Combining B2B Trust's strong positioning
in loans and deposit products with MRS's strength in self-directed
products and account administration provides financial advisors with an
even stronger business partner. This well-diversified product suite,
coupled with a high level of service further enables B2B Trust to
fulfill its brand promise - banking that works for advisors."
"The combination of these two well-established companies - whose
complementary products are built on a similar advisor-focused business
model - is a natural fit," said Charles R. Sims, President and Chief
Executive Officer of Mackenzie Financial Corporation. "At the same
time, the sale of MRS allows Mackenzie Investments to focus all its
resources on our core business of investment management." he adds.
Both executives agree that it is a priority for both companies to ensure
that the transition progresses smoothly for all stakeholders, including
accountholders, advisors, dealers, partners and employees of both
Detailed disclosure including the financial impact of the acquisition on
Laurentian Bank can be found in the Bank's Third Quarter Results press
release issued today and available at http://www.laurentianbank.ca/investors.
About B2B Trust
B2B Trust provides advisors with superior financial products and
services for distribution to their clients across Canada. B2B Trust is
a leading third-party supplier of investment and RRSP loans, a premier
supplier of wholesale deposit products, and a long-time provider of
self-directed accounts, banking services and broker mortgages. B2B
Trust's suite of products and services are available nationally with
the head office located in Toronto and regional sales representation
across Canada. The company is a federally chartered trust company and
wholly-owned subsidiary of Laurentian Bank of Canada, a banking
institution operating across Canada and offering its clients
diversified financial services. For more information, visit b2btrust.com.
About Mackenzie Investments
Mackenzie Investments was founded in 1967, and is a leading investment
management firm providing investment advisory and related services.
With $68 billion in assets under management as of July 31st, 2011, Mackenzie Investments distributes its services through a
diversified network of third-party financial advisors. Mackenzie
Investments is a member of the IGM Financial Inc. (TSX: IGM) group of
companies. IGM Financial is one of Canada's premier financial services
companies with over $128 billion in total assets under management as of
July 31, 2011. For more information, visit www.mackenziefinancial.com
SOURCE LAURENTIAN BANK OF CANADA
For further information:
Public Affairs, Communications and Investor Relations
B2B Trust / Laurentian Bank
514-284-4500, extension 7511
Environics Communications Inc.