IGM Financial Inc. has closed the previously announced transaction to acquire a majority interest in IPC Financial Network Inc.

IPC is Canada’s fifth largest financial planning organization with $7.3 billion of client assets under administration and $1.3 billion of mutual fund assets under management.

IGM Financial also owns 100% of Investors Group Inc. and Mackenzie Financial Inc.

IGM Financial paid approximately $71 million dollars in cash and issued approximately 735,000 IGM Financial common shares, for total consideration of $95 million, to own, indirectly, 74.7% of the equity of IPC.

Each of IPC CEO Steve Meehan and president Chris Reynolds hold, indirectly, 7.7% of IPC and IPC financial advisors and other management members indirectly hold 9.9% of IPC.

“This marks a new beginning for IPC. Our advisors and management are enthusiastic about the future and continuing our growth with our new partners,” said Meehan.

IGM Financial has also invested $48.75 million in a convertible debenture, which replaces existing financing arrangements of IPC and will provide working capital to finance its ongoing growth.

“IPC provides our company with an expanded presence in the financial planning market and an additional avenue for growth over time,” said Jeff Orr, president and CEO of IGM Financial. “The acquisition is consistent with IGM Financial’s strategy of owning leading businesses within the advice segment of the Canadian financial services industry.”

IPC will be operated as a separate entity and will be managed by its current leadership team.