Richardson Financial Group

Richardson Financial Group in the sale of Richardson GMP to GMP Capital Inc.

Client

Richardson Financial Group

Value

-

Service

Mergers and Acquisitions

Date Closed

October 2020

Lead Office

Toronto


 

On October 20, 2020, GMP Capital (GMP) consolidated its ownership of Richardson GMP Limited (Richardson GMP).

Pursuant to a definitive purchase agreement dated August 13, 2020, as amended, between GMP and Richardson Financial Group Limited, GMP acquired all of the shares of Richardson GMP that it did not already own for 1.76 common shares of GMP per share of Richardson GMP. GMP Capital has commenced a substantial issuer bid to repurchase up to $40 million of its common shares. Prior to the sale, Richardson GMP was owned as to one-third by each of GMP, Richardson Financial Group and Richardson GMP investment advisors.

The transaction follow’s GMP’s 2019 sale of its former capital markets business to Stifel and allows GMP to proceed with its wealth management-focused growth strategy. GMP Capital will be renamed to RF Capital Group Inc.

Richardson Financial Group is a private equity firm specializing in providing investment management, advisory and other related services to customers across Canada. As a result of the transaction, Richardson Financial Group is expected to hold more than 40% of the outstanding common shares of GMP.

Osler, Hoskin & Harcourt LLP advised Richardson Financial Group with a team led by Doug Bryce and James Brown, and including Alex Gorka and Thomas Strachan (Corporate) and Kaeleigh Kuzma (Competition).


Team
Douglas  Bryce
Key Contact

Douglas Bryce

National Managing Partner

James R. Brown | Mining lawyer

James R. Brown

Partner, Corporate

Alex Gorka

Alex Gorka

Partner, Corporate

Thomas Strachan

Thomas Strachan

Associate, Corporate

Kaeleigh Kuzma

Kaeleigh Kuzma

Partner, Competition/Antitrust & Foreign Investment