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WisdomTree to sell Canadian unit to CI Financial

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WisdomTree Investments (NASDAQ:WETF) agrees to sell its Canadian subsidiary, WisdomTree Asset Management Canada, to CI Financial.

Under the terms of the deal, CI Financial (OTCPK:CIFAF) will acquire all of the outstanding shares of WisdomTree Canada, enabling CI to continue to operate the business, consisting primarily of the management and promotion of the WisdomTree Canada funds.

WisdomTree will continue to licence its indexes to the funds.

The price of the deal is expected to be C$7M-C$13M in cash, depending on the achievement of certain asset under management targets over the next three years. C$5M will be paid upfront.

WisdomTree Canada will also be terminating WisdomTree U.S. High Dividend Index ETF on or about Jan. 31, 2020.

The sale of the unit is expected to close in Q1 2020.

Source: M A News on Seeking Alpha