Front Street Capital and Jemekk Capital Management have entered into an agreement that will see Front Street acquire Jemekk. Both firms are based in Toronto.
The transaction is expected to close in December. Terms were not disclosed.
Front Street is a Canadian money manager with over $1.5 billion in assets under management. It manages various income and equity strategies, mutual funds, and flow-through limited partnerships.
Jemekk was co-founded 2004 by Gerard Ferguston as a private asset manager catering to high net worth, family office and institutional clients. In partnership with these clients, Jemekk provides asset management across two platforms (Long/Short and Total Return) and three funds with the goal of providing superior risk adjusted returns.
“We are very pleased to welcome Gerard Ferguson to Front Street,” said Frank Mersch, Front Street’s chief investment officer, in a release.
“Over the past few months we have focused our attention on building out our team, and with our bond specialist Rick Brown and Gerard now on board, we have addressed our near-term needs and taken aim at our long-term goals. Both these portfolio managers have over 20 years’ experience and expertise, and will help to build out our core competencies,” Mersch added.
The acquisition by Front Street is intended to provide benefits to Jemekk clients. “The benefits of working with and leveraging the years of experience of the portfolio management team at Front Street will enhance our ability to provide a higher level of service to Jemekk clients,” said Ferguson. “Most importantly, the opportunity to work with the highly respected team at Front Street — including legendary Canadian investment managers Norm Lamarche and Frank Mersch — is the driving force behind our decision.”