Winnipeg-based Great-West Lifeco (Lifeco) has entered into a partnership with alternative asset manager Sagard Holdings Inc., said Lifeco in a release on Thursday.
Lifeco will sell its Colorado-based subsidiaries — EverWest Real Estate Investors, LLC, and Everwest Advisors, LLC — to Sagard, the release said. Further, Lifeco will provide a capital commitment of up to about US$500 million in certain Sagard funds.
In exchange, Lifeco will acquire a minority stake in Sagard Holdings Management Inc., a Sagard subsidiary.
“This transaction will advance Lifeco’s strategy to further broaden its access to alternative investment options,” said Paul Mahon, Lifeco’s president and CEO, in the release.
“It will provide enhanced access to Sagard’s diversified asset classes, complementing our existing investment teams. The result will be broader, more diversified options for clients and our general account,” he added.
Lifeco has also committed to investing about US$2 billion in real estate–related investments to support EverWest’s growth under Sagard, the release said.
The transaction is expected to close before the end of 2021.