Innocap Investment Management Inc is to acquire BNY Mellon’s HedgeMark business to create a single technology-enabled alternative investment platform.

Innocap Investment Management Inc is to acquire BNY Mellon’s HedgeMark business to create a single technology-enabled alternative investment platform.

The consideration for the sale will be a combination of cash and Innocap shares, allowing BNY Mellon to own a minority equity stake in Innocap’s combined USD50 billion global platform, which focuses on helping institutional allocators access their investments through managed account services providing customised investment solutions, meaningful control, increased transparency, and operational alpha over their investment portfolios.

BNY Mellon will join tenured Innocap reinvesting shareholder Caisse de dépôt et placement du Québec (CDPQ), BNP Paribas and management of both Innocap and HedgeMark as shareholders at closing. In addition, the shareholder base will include new institutional investors Fonds de solidarité FTQ and Walter Global Asset Management. 

The transaction is subject to normal closing conditions and regulatory approval, and is expected to close in the first half of 2022.