Toronto-based Canaccord Genuity Group Inc. on Friday announced the sale of Canaccord Genuity Singapore Pte Ltd. to Singapore-based SAC Capital Pte Ltd.
The price was not disclosed, although Canaccord says in a release that it’s “not material”. The firm will receive some cash upfront, and earn outs based on the value of net tangible assets and future cash flows.
The deal is subject to regulatory approval from the Monetary Authority of Singapore (MAS), among other closing conditions, and is expected to close next month.
The transaction allows it to better focus its Asia-Pacific operations, Canaccord says.
“Following an extensive due diligence process, Canaccord Genuity determined SAC Capital to be a reputable and stable operator in the Singapore market,” says Dan Daviau, president & CEO of Canaccord Genuity Group Inc., in a statement. “The partnership we announce today allows for a seamless transition and was formed in the best interests of clients and employees.”
Once the deal closes, SAC Capital will assume control of the Singapore operations, including its staff and clients.
“This transformational transaction reinforces our position as a leading provider of corporate finance advisory, fund raising, underwriting and share placement services in Singapore and makes SAC Capital the second largest independent provider of Catalist continuing sponsorship services,” adds Ong Hwee Li, CEO and executive director of SAC.