Standard & Poor’s Ratings Services said that Industial Alliance Insurance and Financial Services Inc.’s planned acquisition of BLC-Edmond de Rothchild Asset Management Inc. would not affect the ratings of either Industrial Alliance or Laurentian Bank of Canada.

The rating agency said that Laurentian Bank’s ratings and outlook would not be affected by the company’s announcement that it would divest of its interest in BLC-Edmond de Rothchild and enter into a 10-year distribution agreement with Industrial Alliance.

“The proposed sale follows the bank’s strategic decision to concentrate its activities in markets in which it
has or can achieve a sustainable competitive position,” S&P noted. “The $73 million sale price is dependent upon certain performance hurdles and the proceeds of the sale will be shared with the bank’s equity partner.”