TORONTO - Toronto-based fund manager BluMont Capital Corp. is being sold to Arrow Capital Management Inc. for an undisclosed price.
BluMont, a subsidiary of Integrated Asset Management Corp. (TSX:IAM), provides mutual funds and other products to retail investors through the Exemplar portfolio.
BluMont has about $260 million in assets under management. Once the deal closes, that will bring Arrow's assets under management to about $1.3 billion.
BluMont fund managers Veronika Hirsch and Alex Ruus are expected to join Arrow when the deal closes.
"Despite the exceptional investment track record of all BluMont funds, and in particular those funds managed by Veronika Hirsch and Alex Ruus, the challenging retail environment led us to the decision to combine BluMont with a larger high quality alternative asset company; particularly one with whom we can have a relationship going forward with other products," said Victor Koloshuk, the Chairman and CEO of IAM.
IAM is a Canadian alternative asset management company, managing about $1.9 billion in assets such as private corporate debt, real estate, and private equity. About 85 per cent of its business is focused on institutional clients.