Sun Life Financial on Wednesday announced it is merging its Bentall Kennedy real estate investment subsidiary with another real estate manager, GreenOak Real Estate.
Sun Life will hold a 56% stake in the combined company, Bentall GreenOak, said a Sun Life spokeswoman. GreenOak will hold the remaining stake in the combined firm and received C$195 million ($146 million) in cash in exchange for the majority stake.
Also, Sun Life will have an option to acquire the remaining interest in Bentall GreenOak within seven years after the deal closing, expected in the first half of 2019, the spokeswoman said.
Bentall GreenOak will have a total of C$50 billion in assets under management in core, core-plus and value-added real estate strategies, as well as senior and tactical real estate debt strategies across
North America, Europe and Asia. About C$14 billion in AUM will come from GreenOak.Sun Life Financial on Wednesday announced it agreed to acquire a majority stake in real estate investment management firm GreenOak Real Estate.
Gary Whitelaw, president and CEO of Bentall Kennedy, will become CEO of Bentall GreenOak, and Sonny Kalsi, partner and founder of GreenOak, will become president of the combined firm, the spokeswoman said. John Carrafiell, also a GreenOak founder and partner, will become senior managing partner of Bentall GreenOak's U.K. and European business.
Berkshire Global Advisors served as financial adviser to Sun Life on the deal..