Mr. Deland Kamanga reports

BMO TO ACQUIRE BURGUNDY ASSET MANAGEMENT

Bank of Montreal and Burgundy Asset Management Ltd. have signed a definitive agreement for BMO to acquire Burgundy Asset Management. Burgundy is a leading independent wealth manager, providing discretionary investment management for private clients, foundations, endowments, pensions and family offices, with approximately $27-billion in assets under management as of May 31, 2025.

The acquisition of Burgundy will be an expansion of BMO Wealth Management and strengthen BMO's offering in the Canadian Investment Counsel space catering to high-net-worth and ultrahigh-net-worth clients. BMO was recently recognized for its long-standing commitment to meeting its clients' unique needs, being named Canada's best private bank for ultrahigh-net-worth clients according to the Euromoney Private Banking Awards. The transaction is expected to close by the end of calendar 2025, subject to customary closing conditions, including regulatory approvals.

BMO will acquire Burgundy for a purchase price of approximately $625-million, payable in BMO common shares, including a $125-million holdback to be paid subject to Burgundy maintaining certain assets under management 18 months postclosing. An earnout component may also be paid in the future based on the achievement of certain growth targets.

"Burgundy Asset Management is one of Canada's most respected independent investment managers known for its high-calibre team, rigorous investment process, and dedicated service to private clients, institutions and family offices," said Deland Kamanga, group head, wealth management, BMO. "The acquisition will build on BMO's heritage as a client-focused wealth manager while expanding our wealth advice and private investment counsel offering."

Upon closing, Burgundy will operate as part of BMO Wealth Management, and Burgundy's chief executive officer, Robert Sankey, will continue to lead the business. Burgundy co-founders Tony Arrell and Richard Rooney will also remain with the business.

"It has always been our intention to build Burgundy for the long run, so we can serve our clients and their families across generations," said Tony Arrell, chairman and co-founder, Burgundy Asset Management. "We are happy to be joining BMO, a North American leader, and believe this is a great opportunity to continue to serve our clients well into the future."

Founded in 1990, Burgundy's 150 employees serve clients from offices in Toronto, Vancouver and Montreal.

KMS Capital, Origin Merchant Partners and PJT Partners acted as financial advisers to Burgundy on the transaction. Torys LLP acted as legal counsel.

BMO Capital Markets acted as exclusive financial adviser to BMO on the transaction. Osler, Hoskin & Harcourt LLP acted as legal counsel.

About Burgundy Asset Management Ltd.

Burgundy Asset Management is a global investment management firm headquartered in Toronto, with additional offices in Montreal and Vancouver. Since its founding in 1990, Burgundy has been dedicated to serving high-net-worth individuals, foundations, endowments, pensions and family offices. The firm is known for its disciplined quality/value investment approach, focused on protecting and compounding clients' capital over the long term. As of May 31, 2025, Burgundy had approximately $27-billion in assets under management.

About Bank of Montreal

BMO is the seventh-largest bank in North America by assets, with total assets of $1.4-trillion as of April 30, 2025. Serving customers for 200 years and counting, BMO is a diverse team of highly engaged employees providing a broad range of personal and commercial banking, wealth management, global markets, and investment banking products and services to 13 million customers across Canada, the United States, and in select markets globally. Driven by a single purpose -- to boldly grow the good in business and life -- BMO is committed to driving positive change in the world, and making progress for a thriving economy, sustainable future and inclusive society.

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