Canada’s Canaccord buys U.S. Petsky Prunier in $45 million deal

Canadian full-service financial services firm Canaccord Genuity Group Inc. has bought New York-based peer Petsky Prunier for C$60 million ($45 million).

Under the terms of the transaction, anticipated to be accretive to Canaccord’s adjusted earnings during the first year of operation, Petsky will receive $30 million in cash and $15 million in Canaccord shares.

The deal underscores Canaccord’s commitment to adding scale to its fixed cost base in the U.S. and diversifies its revenue streams, whilst advancing its client offering to capture greater market share in its core areas of strength.

Petsky will get another $40.0 million in additional contingent consideration that will be paid in cash over a four-year period subject to meeting certain revenue targets over that period.