French fund management giant Natixis Global Asset Management is seeking a toehold in the Canadian market with the acquisition of Toronto’s NexGen Financial Corp. (TSXV:NFX) in a deal valuing the firm at $35 million.

Natixis said late Friday it will pay $7.25 per share for NexGen, more than double its previous closing price of $3.50. The all-cash deal, which still requires shareholder, regulatory and court approval, is being supported by NexGen’s board. Shareholders who collectively own over 50% of NexGen’s shares have also agreed to vote in favour of the deal.

A shareholder vote is expected to be held near the end of the year, and the firms aim to close the transaction in early 2015. The deal also includes a $1.75 million break-up fee, if the transaction is terminated in certain circumstances.

If the deal does go ahead, NexGen will operate autonomously within Natixis, under its existing senior management team. There are no immediate plans to make staffing changes or changes to the NexGen business model, the firms say.

Paris-based Natixis says that it plans to build upon NexGen’s existing mutual fund platform by offering its asset management strategies in the Canadian retail market. Natixis manages more than $930 billion (as of June 30, 2014) in assets through its global affiliates. Toronto’s NexGen has about $919 million in assets under management.

“NexGen is an innovative firm with a strong management team and a solid lineup of retail mutual funds offered through an expansive distribution platform,” said John Hailer, chief executive officer of Natixis in the Americas and Asia. “Together with NexGen, we will be better positioned to serve the market with our worldwide network of affiliated investment managers.”

Natixis says that expanding into Canada is part of its strategic plan to actively pursue international growth. In June, the firm announced plans to launch a new business development initiative in Canada focused on the Canadian institutional market.

“We are very pleased to join one of the world’s leading asset managers,” said Abe Goenka, NexGen co-CEO. “It’s exciting to become part of an organization with significant resources and an outstanding group of affiliated asset managers. This gives us greater access to a broad set of investment strategies that will allow us to create new products adding to our already diverse fund offerings, allowing us to better serve current clients and pursue new opportunities.”