Desjardins Group and Guardian Capital Group Limited announced Nov. 30 that Desjardins will acquire managing general agency (MGA), IDC Worldsource Insurance Network Inc., mutual fund dealer, Worldsource Financial Management Inc., and full-service investment dealer, Worldsource Securities Inc. in a transaction valued at $750-million.

Desjardins says the move accelerates its growth strategy for the broader Canadian market. It adds that the cooperative financial group plans to retain the management and employees of the acquired companies and plans to operate the acquired companies as stand-alone entities led by current management and employee teams.

Committed to maintaining advisor independence 

The three firms serve more than 5,000 independent advisors in the Canadian marketplace. Desjardins says it is “committed to maintaining the independence of advisors.” 

Guardian says the transaction meanwhile unlocks meaningful value for its own shareholders and allows the company to focus on its core investment management business. The transaction is expected to close in the first quarter of 2023.