Wellington-Altus Explores Strategic Minority Share Sale to Drive Shareholder Value

WINNIPEG, MB, TORONTO and MONTRÉAL, Dec. 6, 2024 /CNW/ - Friday, December 6, 2024 /CNW/ – Wellington-Altus Financial Inc. (Wellington-Altus), parent company to Canada's top-rated* investment dealer, is launching an exploratory minority secondary share sale process as part of its ongoing strategy to accelerate and enhance shareholder value for the firm and its partners.

Wellington-Altus has rapidly emerged as one of Canada's fastest-growing wealth management firms, surpassing $35 billion in assets under administration and employing more than 900 people nationwide.

As part of the process announced today, the firm is seeking a new private equity partner to acquire approximately 20 to 30 per cent of its existing equity. Through the share sale process, the company expects to find a new strategic partner who understands and can actively support Wellington-Altus' vision to revolutionize wealth management, continue its exceptional growth trajectory, while simultaneously providing a liquidity opportunity for its existing shareholders and advisors, all of whom are currently shareholders.

"We have never been stronger as an organization thanks in part to our trusted private equity partners and access to long-term credit," said Shaun Hauser, Founder & CEO of Wellington-Altus. "Welcoming a new equity partner will enhance our future growth and client-focused service, while enabling our shareholders to unlock the value of their investments through a greater ability to sell shares, providing liquidity and validating our share price."

The firm will maintain its status as a Canadian-Controlled Private Corporation and remain majority-owned by its advisors and employees following a transaction.

Wellington-Altus has a proven track record of securing strategic partnerships that support its growth. In December 2023, the firm received a $40 million second-round growth equity investment from The Cynosure Group, increasing Cynosure's minority ownership stake to 15 per cent. In September 2024, Wellington-Altus secured a new credit facility with funds managed by Ares Management, providing access to significant capital as it continues its growth trajectory.

The transaction is expected to conclude mid- 2025.

About Wellington-Altus Financial Inc.

Founded in 2017, Wellington-Altus Financial Inc. (Wellington-Altus) is the parent company to Wellington-Altus Private Counsel Inc., Wellington-Altus USA Inc., Wellington-Altus Insurance Inc., Wellington-Altus Group Solutions Inc., Independent Advisor Solutions Inc., and Wellington-Altus Private Wealth Inc.—the top-rated* investment dealer in Canada and one of Canada's Best Managed Companies. With more than $35 billion in assets under administration and offices across the country, Wellington-Altus identifies with successful, entrepreneurial advisors and portfolio managers and their high-net-worth clients.

*Investment Executive 2024 Brokerage Report Card.

Legal Disclaimer

There can be no assurance that this process will result in Wellington-Altus completing a minority secondary share sale or any other strategic outcome. Wellington-Altus does not intend to make any further public comment regarding the strategic process until it has been completed or it determines that further disclosure is appropriate. Any outcome of the strategic process could be subject to any applicable regulatory and/or shareholder approvals.

SOURCE Wellington-Altus Financial Inc.