Mackenzie Financial Corp. today announced the completion of the sale of the business of its indirect, majority-owned subsidiary, Mackenzie Investment Management Inc. to U.S.-based mutual fund manager Waddell & Reed Financial, Inc.

Under the agreement, Waddell & Reed indirectly acquires MIMI’s entire operation including management of its U.S.-based mutual funds representing approximately US$665 million assets under management.

The total value of the transaction is approximately US$70 million, including US$11 million paid by MIMI to its public shareholders. Mackenzie will solely bear the risk of any negative adjustments and has agreed to be solely responsible for all indemnification obligations to Waddell & Reed.

“This was a carefully negotiated agreement and we’re very pleased with the all-cash transaction we were able to produce on behalf of MIMI shareholders,” said Jim Hunter, president, Mackenzie Financial Corporation.

“Our decision to sell our shares of MIMI was part of Mackenzie’s strategy to focus on Canadian independent advisors and their clients, and to build a relationship with a full scale, world class investment team based in the United States,” added Hunter.

It is anticipated that MIMI’s common stock will be delisted from the Toronto Stock Exchange on December 17, and that MIMI will close its common stock transfer books on December 20, 2002.