CMA Holdings Inc., a subsidiary of the Canadian Medical Association, announced on June 23, 2003 that it had agreed to purchase a majority position in Toronto-based investment management firm Howson Tattersall Investment Counsel. The deal closed on August 31, 2003.
CMA Holdings is responsible to the CMA for governing and managing the association’s several business subsidiaries, including MD Management Ltd., MD Funds Management Limited, which manages 18 proprietary mutual funds offered for sale to CMA members and their families known as the “MD funds”, having approximately $9.5 billion in assets, MD Private Trust Company and MD Life Insurance Company, among others. CMA Holdings is also responsible for developing new businesses that will benefit the CMA and Canadian physicians. Howson Tattersall manages more than $1 billion for leading institutions and provides discretionary money management for private clients. Howson Tattersall also manages the Saxon Mutual Funds, offering five diversified fund options that comprise more than $300 million in assets under management.
Pursuant to the terms of the transaction, Howson Tattersall will combine its institutional business with Lancet Asset Management Inc., the institutional money management subsidiary of CMA Holdings, and its private client management business and the management of the Saxon Mutual Funds will be carried on through new subsidiaries of Howson Tattersall. The combined businesses will have investment assets under
management of $6 billion and operate under the Howson Tattersall and Saxon names.
CMA Holdings was represented in-house by Louis Lavoie, counsel, and assistant vice-president, corporate, and by Borden Ladner Gervais LLP in Ottawa, with a team that included Jeremy Farr, Patricia John, Lisa Dwyer Hurteau and Steve Thomas (corporate and regulatory) and Bernie Roach (tax). Howson Tattersall was represented by Osler, Hoskin & Harcourt LLP in Toronto, with a team that included John Black and Lynne Woollcombe (corporate) and Judith Harris and Kim Wharram (tax).