GMP says private-equity play puts it into "growing and underserved market". Last month Canadian investment bank and asset manager GMP Capital Trust acquired EdgeStone Capital Partners, a Toronto, Ontario-based private-equity manager with more than $2 billion in asset under management.

Driving value

Under the agreement, Griffiths McBurney, a subsidiary of GMP Capital, has purchased all outstanding "equity interests" in EdgeStone and, indirectly, each of its subsidiary entities and partnerships, including the general partners of EdgeStone's funds. The precise financial details of the deal weren't disclosed.

"We are pleased to close this important transaction and we look forward to working with the principals at EdgeStone to help them further build their business and drive continued value for the limited partners in EdgeStone's funds and portfolio companies," says Kevin Sullivan, CEO of GMP Capital.

EdgeStone's principals are Michael Hollend and Martin Longchamps.

In a hint at the strategy behind the acquisition, Sullivan told Bloomberg that "private equity is a growing and underserved market. We want to increase our presence there."

Toronto-based GMP Capital has offices in Vancouver, British Columbia, Calgary, Alberta and Montreal, Quebec, as well as in Geneva, Switzerland. -FWR

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