Calgary

GMP Capital Inc. to buy Calgary-based FirstEnergy Capital for $99M

Toronto-based financial services company GMP Capital Inc. said it was purchasing Calgary-based FirstEnergy Capital for $98.6 million.

The new entity, to be called GMP FirstEnergy, will be based in Calgary

Toronto-based financial services company GMP Capital Inc. said it was purchasing Calgary-based FirstEnergy Capital for $98.6 million. (Hasan Jamali/Associated Press)

Toronto-based financial services company GMP Capital Inc. said it was purchasing Calgary-based FirstEnergy Capital for $98.6 million, in a release Thursday.

The purchase will be made up of $58.9 million in GMP restricted shares with an unsecured promissory note issued for the balance.

The new entity, to be called GMP FirstEnergy, will be based in Calgary.

"This significant investment reconfirms our commitment to Calgary and the oil and gas sector and is aligned with our longer-term bullish view of the energy market," GMP's president and CEO Harris Fricker said.

FirstEnergy CEO John Chambers says the transition should be smooth.

"We are committed to a seamless integration to ensure that the exceptional service and execution, to which our collective clients have become accustomed to, is not disrupted," Chambers said.

FirstEnergy, which was established in 1993, currently has 91 employees in offices in Calgary and London, England.

Calgary business man Brett Wilson was one of the co-founders of FirstEnergy.

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