Sagard Holdings and Great-West Lifeco have formed a strategic partnership that will help support Sagard's growth in the real estate sector. The firm plans to become a global multi-strategy alternative asset manager and a significant real estate player.

The transaction includes Sagard's acquisition of EverWest, a real estate investment management firm with approximately $3.8 billion in assets under management, from Lifeco. The firm will serve as a foundation to Sagard's expansion in the real estate sector. In addition, Lifeco will invest $2 billion in EverWest investment vehicles to support future growth and $500 million in Sagard funds. Lifeco will take a minority stake in Sagard subsidy Sagard Holdings Management.

According to a statement from both companies, the partnership is mutually beneficial. Sagard will gain entry into the real estate space and providing access to capital, while Lifeco will gain a significant interest in Sagard's growth and expansion. "This transaction will advance Lifeco's strategy to further broaden its access to alternative investment options," said Paul Mahon, President and Chief Executive Officer of Lifeco in a statement. "It will provide better access to Sagard's diversified asset classes, complementing our existing investment teams. This will result in broader, more diversified options for clients and our general account."