CI Financial, a prominent player in the financial services sector, has announced plans to go private in a transaction involving an affiliate of Abu Dhabi’s sovereign wealth fund, Mubadala Capital. The deal, which values CI Financial at approximately $15 billion, is poised to bring substantial changes to the company’s corporate structure. The board of CI Financial, excluding interested directors who abstained, has unanimously recommended shareholders approve the transaction, mirroring the advice of a special board committee composed of independent directors.
William E. Butt, the lead director and chair of the special committee, emphasized the significance of the cash premium offered by the transaction, which he views as a strategic opportunity that brings financial certainty to CI shareholders amidst the firm’s transformational journey. CEO Kurt MacAlpine stated that the partnership with Mubadala Capital aligns with CI’s long-term strategic objectives and offers continued stability for clients and employees. MacAlpine will retain his leadership role post-transaction.
The deal is anticipated to facilitate CI’s expansion within the U.S. market, with its operations expected to proceed independently under the Corient brand. The current structure, notably its private partnership model, will remain intact, providing equity partnership to 250 employees. For further details, the original article can be found here.