Broadridge to acquire Canadian wealth management company RPM Technologies in $300mn deal
New York-based Fintech leader Broadridge Financial Solutions announced today its plans to acquire RPM Technologies for a total cash consideration of US$300mn.
RPM Technologies is a Canadian provider of enterprise wealth management software solutions.Its technology platform currently supports approximately 15mn customer accounts across Canada and beyond, administering over $480bn in assets.
Building on Broadridge's strong Canadian Wealth Management business, the acquisition is expected to bring important new capabilities and next-generation technology to both RPM's and Broadridge's clients.
"The addition of RPM Technologies broadens and deepens our wealth management product offering in Canada," said Tom Carey, President of Global Technology and Operations at Broadridge. "We are very pleased to add RPM's state-of-the-art platforms and blue-chip client roster. This investment underscores our commitment to bring value-added technology solutions to the industry, and it supports our longer-term strategy of building a strong North American Wealth business."
The transaction is expected to contribute $40-50 million USD in revenues to Broadridge in fiscal year 2020 and is not expected to have a material impact on Broadridge's Adjusted earnings per share.
"Broadridge is a global Fintech leader with a deep commitment to the Canadian market and is the best future partner to extend RPM's growth," said Dave Poppleton, President and CEO of RPM Technologies. "With our combined technology and innovation capabilities, clients will gain deep product expansion opportunities, superior digital channel capabilities and seamless enterprise solutions."