Standard Life Financial Inc. has agreed to sell the distribution network of Performa Financial Group Ltd., a mutual fund dealership, to Optifund Investments Inc., a subsidiary of Desjardins Financial Security (DFS).

Terms of the deal, which is subject to regulatory approvals, were not disclosed.

“With this transaction Standard Life focuses on core activities where we see significant growth opportunities: wealth and risk management, encompassing a wide range of insurance, investment and retirement products offered on a retail and group basis,” said Joseph Iannicelli, president of Standard Life, in a release.

“I want to take this opportunity to particularly thank Mr. Andy Mitchell, Performa’s President, for his contributions and leadership and for the excellent support of his senior management team. Mr. Mitchell will pursue other career interests,” Iannicelli said.

François Joly, president and COO of DFS, said that today’s deal is consistent with the strategic plan of the Desjardins Group. “Desjardins Financial Security wants to double its market share outside Quebec,” he stated.

“With the acquisition of this mutual fund dealership’s distribution network and the support of its 125 experienced advisors who know their markets and clients very well, we should be able to strengthen our capacity to distribute financial products and services outside Quebec,” added Denis Berthiaume, senior vp, individual insurance, DFS.

Standard Life said it would “work closely with Optifund Investments Inc. to ensure a smooth transition for Performa’s employees across Canada as well as for its clients and distributors.”

Performa has assets under administration totaling $1.3 billion. Over 90% of the company’s assets are located outside Quebec. Performa’s head office is located in Montreal. In addition, it has offices in Toronto, Calgary and Vancouver, and a network of fifteen independent branches.