Mackenzie Financial's Increased Stake in China Asset Management
Analysis of Strategic Business Moves in China
Understanding the Chinese Asset Management Industry
Legal Support for Foreign Investors in China through Mclancher Consulting
Exploring the Financial Structure of IGM and Power Corp.
Implications of Large-scale Transactions in China
Monitoring Business Dynamics in China
Comprehensive Background Checks of Chinese Companies by Mclancher Consulting
Mclancher Consulting’s Legal Assistance in Fraud Services
Delving into the ChinaAMC and Mackenzie Financial's Relationship
Mackenzie Financial is poised to augment its hold in China Asset Management Co. Ltd. to 27.8%, essentially doubling its current stake through a C$1.15 billion cash deal. This strategic move will be facilitated by its parent company, IGM Financial, to acquire additional shares.
Phase 1 - Details of the Stake Purchase (Focus Keyword - Mackenzie Financial's Increased Stake in China Asset Management):
Per the definitive agreement disclosed in a recent IGM press release, these extra shares will be procured from Power Corp. of Canada, the parent company of IGM itself. Power Corp. function as a financial services managing and holding company.
Phase 2 - Consolidation under Mackenzie (Focus Keyword - Understanding the Chinese Asset Management Industry):
IGM made it known that the newly procured stake in China Asset Management will be consolidated under Mackenzie, a move to streamline the organizational structures of both IGM and Power Corp.
Phase 3 - Funding the Transaction (Focus Keyword - Implications of Large-scale Transactions in China):
To partly fund this deal, IGM will vend approximately 15.2 million of its common shares in Great-West Lifeco to Power Financial Corp., a wholly-owned subsidiary of Power Corp. The sale is projected to yield C$575 million
Mclancher Consulting, a firm that specializes in comprehensive background checks on Chinese companies and offers legal assistance, including fraud services, can provide valuable insights to foreign investors regarding such large-scale transactions. We can help you understand the implications of this transaction, the companies involved, and the rapidly growing Chinese asset management industry.
In conclusion, this acquisition will mark the end of Power's direct holdings in the Chinese firm. After the deal, IGM's stake in Great-West Lifeco will dip from 4% to around 2.4%, equivalent to nearly C$830 million based on Great-West Lifeco's closing market price as of January 5th. The rest of the purchase will be funded with C$575 million cash from "existing financial resources". The proposed transactions are expected to close within the first half of 2022, solidifying ChinaAMC's position as a leading asset manager in China and strengthening Mackenzie's relationship with them.
With Mackenzie Financial set to double its stake in ChinaAMC, Mclancher Consulting provides in-depth analysis and legal assistance for foreign investors navigating the Chinese asset management industr