Canada’s
Fiera Capital has agreed to acquire Los Angeles-based Bel Air Investment
Advisors, the wealth management firm, as well as its affiliate Bel Air
Securities and New York-based Wilkinson O’Grady & Co, adding C$8.5 billion
($8.1 billion) in assets under management to a total of C$74 billion.

Fiera is paying a total consideration of around$156.25
million to buy the firms and it expects to obtain a low double-digit accretion
to its 2014 adjusted net earnings per share as a result of the transactions.

“We see tremendous growth potential in the US private wealth
market and these transactions fit perfectly with our plan to create value by
becoming a leading North American investment management firm within the next
five years," Jean-Guy Desjardins, chairman and chief executive of Fiera,
said in a statement.

"Bel Air has established itself as one of the nation's
largest independent advisors to the attractive ultra-high net worth segment of
the private wealth market. By partnering with Bel Air, Fiera will be uniquely
positioned to expand its wealth management business internationally and serve
clients coast to coast," Desjardins added.

The Bel Air brand will operate under Fiera Capital Private
Wealth North American's division. The business unit will be led by Todd Morgan,
senior managing partner of Bel Air, who will become Chairman of FCPWNA.

Bel Air was founded in 1997, and has around C$6.3 billion in
assets under management and C$1.4 billion in consulting assets.

The firm will be acquired for consideration of $125 million
subject to various adjustments, including a maximum of $115 million in cash.
The remaining $10 million will be paid to the selling shareholders by issuing
new Fiera Class A subordinate voting shares over a 32-month period following
closing. Some $15 million of the cash consideration will be held in escrow for
a period of three years. As part of the transaction, Bel Air's management team
and other key personnel will also receive performance share units in Fiera and
will join the Firm to play a pivotal role in the continued success of the
business.

Wilkinson O'Grady, meanwhile, which was created in 1972, manages
approximately C$2.2 billion for individuals, families, trusts, endowments, and
foundations located around the world. It serves more than 500 client accounts
and is part of the Global Investment Capital Holding Limited Group.

Wilkinson O'Grady will be acquired for an aggregate purchase
price of $31.25 million consisting of $29.7 million in cash and $1.6 million
worth of Fiera Class A subordinate voting shares (which reflects the roll-over
of senior employee ownership in Wilkinson O'Grady into newly issued Fiera Class
A subordinate voting shares). As part of the Transactions, key employees of
Wilkinson O'Grady will join the Fiera team under long-term employment
agreements.