The Toronto Stock Exchange has backed the right of CI Financial's (CIX.TO) largest shareholder, Bank of Nova Scotia (BNS.TO), to have a vote on whether the independent wealth manager can keep a takeover defense plan in place for another three years. The shareholder rights plan is aimed at preventing a hostile takeover of the independent wealth manager and prevents Scotiabank, which owns just over 36 percent, from selling a block of 20 percent or more of CI shares. Independent shareholders of CI will vote on June 1 on an extension of plan at the annual meeting this year. Scotiabank, which is not an independent shareholder under the terms of the plan, had been blocked from voting. "We are shocked that the Toronto Stock Exchange has decided to favor the Bank of Nova Scotia and impose this change on CI's other shareholders," CI Financial said in a statement late on Friday.
CI Financial Corp. (CI) is a diversified wealth management company engaged in management and distribution of a range of financial products and services, including mutual funds, segregated funds, financial planning, insurance, investment advice, wealth management and estate and succession planning. Shares of CIX fell by 1.4% or $-0.2/share to $14.05. In the past year, the shares have traded as low as $8.56 and as high as $17.90. On average, 2886 shares of CIX exchange hands on a given day and today's volume is recorded at 1252.
The Bank of Nova Scotia (the Bank) is a diversified financial institution. Shares of BNS traded higher by 1.14% or $0.69/share to $61.04. In the past year, the shares have traded as low as $44.49 and as high as $62.33. On average, 473346 shares of BNS exchange hands on a given day and today's volume is recorded at 273436.
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