Fiera Sceptre Inc. (TSX:FSZ) is preparing to acquire Natcan Investment Management from National Bank of Canada (TSX:NA) in a deal that would see the bank take a position in the independent investment firm. Both Fiera and National Bank are based in Montreal.

Finance et Investissement, the sister publication of Investment Executive, reports the deal will be announced at the beginning of next week.

The Investment Industry Regulatory Organization of Canada halted trading in Fiera shares on Friday afternoon pending news.

The details of the transaction, which have been in the works for several months, were recently agreed upon by the two firms, who are only waiting approval from the regulatory bodies before they officially announce the deal, reports FI.

With $25 Billion in assets, Natcan is currently owned and operated 100 per cent by National Bank. National bank will sell its interests to Fiera Sceptre and will get in return a minority share in the company that was founded by Jean-Guy Desjardins in 2003.

With about $30 billion of assets under management, Fiera Sceptre will double in size.

Some sources are saying that National Bank’s stake in Fiera Sceptre will exceed 10%.