MGA merger to create national player

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Two of Canada’s managing general agencies have announced plans to merge. The combination of Worldsource Insurance Network Inc. and IDC Financial Inc. would create one of Canada’s largest MGAs.

“Worldsource is excited to be associated with IDC,” said Paul Brown, president and CEO of WIN. “It is a firm with a great value proposition and a core of high quality advisors, and has experienced dynamic growth over the past decade.”

Brown will be the chairman and CEO of the new company, to be branded IDC Worldsource Insurance Network Inc., while Ron Madzia, president of IDC, will be president.

“We look forward to partnering with WIN and its affiliated companies,” said Madzia. “This merger will give us the ability to open new markets and to continue to expand our services to our independent advisors.”

How big will the merged firm be?

IDC WIN will service over 2,000 insurance advisors, who sell products from all major life insurers and have under administration over $1.5 billion in segregated fund assets.

While WIN’s parent company, Worldsource Wealth Management, is based in Markham Ontario, the MGA’s strength lies in the western provinces. IDC operates primarily in eastern Canada.

The merged company will have a national presence, with offices in Mississauga, Vancouver, Saint John, Markham, London and Halifax.

The transaction is expected to close on or about July 1, 2011, at which time IDC WIN will be 67% owned by Worldsource Wealth Management Inc. (WWM). The current management of IDC will also continue to hold a significant stake in the company, and will maintain their active roles in managing the new organization.

Staff

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