Broadridge Financial Solutions, a global fintech company based in Lake Success, N.Y., has agreed to acquire RPM Technologies Inc., a wealth management software development company in Toronto, for $300 million, the companies announced.
Broadridge, which has a wealth management fintech product in Canada, entered into a purchase agreement with Toronto-based Bayshore Capital Inc. and its partners, which own RPM.
“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.
RPM’s technology platforms support over 15 million customer accounts. The acquisition will allow Broadridge to bring new capabilities and next-generation technology to both companies’ clients, the press release said.
The transaction is expected to increase Broadridge's 2020 revenues by $40 million to 50 million, while not having a material impact on its adjusted earnings per share, the release said.
The closing of the transaction is subject to completion of an intercompany reorganization by RPM Technologies and standard customary closing conditions, the release said.