GMP Capital Inc. (GMP.T), one of Canada's largest independent
investment dealers, has agreed to buy New York-based fixed-income
boutique brokerage Miller Tabak Roberts Securities LLC for about
$33 million.
Miller Tabak specializes in institutional sales, secondary
trading and research in high-yield and distressed debt, convertible
bonds, international bonds, investment grade and asset-backed
securities. GMP said it aims to transform the boutique firm's
traditional agency platform into a "formidable" primary
business.
In addition to the $33 million in cash to be paid, certain key
employees of Miller Tabak will receive $15 million of GMP shares in
the deal.
In Toronto Wednesday, GMP is down slightly at C$15.79.
The buy is expected to close before the end of GMP's third
quarter, which is Sept. 30.
-By Judy McKinnon, Dow Jones Newswires; 416-306-2100;
judy.mckinnon@dowjones.com