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Mubadala Capital has reached a landmark agreement to acquire CI Financial Corp., a Canada-based asset and wealth management giant, in a deal valued at approximately CA$12.1 billion ($8.7 billion). The transaction, announced Monday, takes CI private and reflects the involvement of five major law firms.

Mubadala Capital acquires CI Financial : Terms of the Agreement

Under the deal, Mubadala Capital, the alternative asset management arm of Abu Dhabi’s Mubadala Investment Company, will acquire all outstanding shares of CI Financial at CA$32 per share in cash. This price represents a 33% premium over CI’s closing stock price prior to the announcement, valuing the company’s equity at roughly CA$4.7 billion.

CI Financial, which operates in Canada, the U.S., and Australia, oversees about CA$518.1 billion in client assets as of its latest disclosure. The firm recently sold a 20% minority stake in its U.S. wealth management business for $1 billion, signaling its strategy to expand and streamline operations ahead of this transaction.

Legal Counsel Behind the Deal

The deal involved a cadre of top-tier legal advisors:

• CI Financial's special committee was represented by Wildeboer Dellelce LLP.
• Mubadala Capital was advised by Blake Cassels & Graydon LLP in Canada and Latham & Watkins LLP internationally.
• CI Financial received further counsel from Stikeman Elliott LLP and Skadden Arps Slate Meagher & Flom LLP.

The legal teams included prominent partners across various practice areas, such as M&A, regulatory compliance, tax, and antitrust. The detailed structuring underscores the deal’s complexity, reflecting the global scale of both CI and Mubadala Capital.

Mubadala Capital acquires CI Financial : Strategic Implications

William E. Butt, CI Financial’s lead director and chair of its special committee, emphasized the benefits of the transaction for shareholders and Canada’s financial sector.

“This transaction, with its significant cash premium, represents an exceptional outcome for CI shareholders,” Butt said. “It also provides long-term capital to underpin the building of a Canadian champion in the wealth and asset management industries.”

CI Financial’s U.S. operations, branded as Corient, will remain independent and retain their identity post-acquisition. The company will also preserve its Canadian headquarters and current leadership structure, operating independently from Mubadala Capital’s portfolio.

Mubadala Capital’s CEO, Hani Barhoush, expressed confidence in CI Financial’s future under the new partnership. “We are fully aligned with the strategy and direction of the firm and look forward to working with the CI management team to continue to build this outstanding business.”

Closing Timeline and Market Impact

The deal is set to close in the second quarter of 2025, pending court approvals, regulatory clearances, and other customary conditions. Upon completion, CI Financial will delist from the Toronto Stock Exchange, marking a significant shift in its corporate trajectory.