iA Financial Group (Industrial Alliance Insurance and Financial Services Inc.) acquired the operations of BBA Financial Group. a Quebec‑based brokerage firm with around 200 representatives which specializes in the distribution of life and health insurance products.
"Through this strategic acquisition, National Financial Insurance Agency continues to grow and definitely ranks among the major players in the Canadian industry,” states Louis DeConinck, President of Investia.
Under the agreement, following the conclusion of the transaction, BBA will become a division of National Financial Insurance Agency Inc. (NFIA), a wholly-owned subsidiary of Investia Financial Services Inc., which is itself a wholly-owned subsidiary of iA Financial Group.
Recently the industry has seen a spate of Canada’s leading insurers, including Manulife, Sun Life and Great-West venture into the wealth management space, chiefly to counter the tough current economic and regulatory environment threatening insurance.
However, with this acquisition, the shoe seems to be on the other foot as a large wealth management company is looking to grab a larger share of the life and health insurance sector.
The anticipated closing date of this deal is December 1, 2015, pending approval of the boards of directors, regulatory approval and other closing conditions. The financial terms and conditions of this transaction are not released at this time.