Waddell & Reed acquires Mackenzie Investment shares

Date Closed: 12/16/2002

Value: US$74 million

Kansas City, Missouri-based Waddell & Reed Financial, Inc. entered into an agreement, on August 29, 2002, to acquire the shares of Florida-based Mackenzie Investment Management, Inc. (MIMI) from Toronto-based Mackenzie Financial Corporation and the public shareholders of MIMI in a transaction valued at approximately US$74 million. The deal closed on December 16, 2002. At closing, Waddell & Reed and Mackenzie Financial entered into a sub-advisory agreement under which Waddell & Reed will act as investment advisor to several of Mackenzie's universal funds.

Mackenzie Financial and MIMI were represented by Frank Allen, Robert Black, John Hall, Gordon Raman, Michael De Cosimo and Dyana McLellan of BLG in Toronto.