On February 2, 2016, Lorne Park Capital Partners Inc. announced that it had entered into a non-binding letter of intent to acquire INDEX Wealth Management Inc.
Lorne Park Capital Partners Inc. (“LPCP”) will purchase all of the outstanding securities of INDEX Wealth Management Inc. (“INDEX”) in exchange for the issuance of 1,375,000 common shares of LPCP and cash payable in three installments: one installment on the closing date, and two future installments based upon INDEX’s annualized revenue as of each payment date. As of February 2, 2016, the total purchase price is anticipated to be $2.25 million. The common shares of LPCP are proposed to be issued at $0.40 per common share, subject to any limits required by the TSX Venture Exchange. The proposed price per common share is approximately equal to the 6 month volume weighted average of the common shares of LPCP on the TSX Venture Exchange.
LPCP provides resources to investment managers and wealth advisors. INDEX is an independent portfolio manager that provides discretionary investment management and wealth planning services for individuals, foundations and non-profit corporations. INDEX’s strategy utilizes Exchange Traded Funds as its core holdings.
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