BMO selling EMEA asset management business to Ameriprise Financial for $1.09B

BMO Financial Group has signed a deal to sell its asset management business in Europe, the Middle East and Africa to Ameriprise Financial Inc. for $1.09 billion.

The companies also announced a new strategic relationship between BMO and Columbia Threadneedle Investments, Ameriprise’s global asset management business.

In a separate deal in the U.S., some BMO asset management clients will have the chance to move to Columbia Threadneedle Investments, if they agree. The terms of the U.S. agreement were not disclosed.

BMO’s North American Wealth Management clients will also be offered the opportunity to access a range of Columbia Threadneedle investment management solutions.

BMO says it expects to take a $745-million writedown of goodwill after tax related to deal in the second quarter of its financial year.

The transaction is expected to close by the end of this year.

The Canadian Press

The Canadian Press is a national news agency headquartered in Toronto and founded in 1917.