Hutchison exits Equisure

Despite reports that it would be “business as usual” following ING’s takeover of Equisure Financial Network last September, the board and CEO of the broker network have packed their bags. Equisure chair and CEO George Hutchison announced his intention to resign, as well as directors Neil Forth, Hector Lavigne, Lynne Hutchison, Douglas MacDonald, Hubert Mockler, Gilbert Souliere and David Williams. Forth and Lavigne have also resigned as officers of the company.

Outstanding shares in Equisure were purchased by ING last year, for a value of approximately $136 million. ING had been a minority owner in Equisure at the time.

Guy Desjardins, president of the acquiring subsidiary company of ING, has been appointed chair and CEO, and the new board consists of Desjardins and ING senior officers Roger Randall, Claude Dussault and Charlene Valiquette.

Dussault, who is also president and CEO of ING Canada’s broker networks, says the resignations are just a “continuation” of the financial service giant’s plans. This includes the plan to “transform the Equisure organization from a public company in consolidation mode to a privately held company where ownership of brokerages is shared with the brokers”. ING Canada president Yves Brouillette has previously said the company will sell partial ownership back to brokerage owners in the network. Dussault confirms, “we are at the stage of having discussions with brokers” about the buy-back offer. ING would “be a partner” with those brokerages, he says.

Dussault also said that ING has plans to grow the network, firstly through organic growth within brokerages, and also through introducing integrated financial services offerings through the network. Also, he notes, further acquisitions may be in the future for Equisure, with ING helping brokers to expand their businesses. “But it will be done through brokers mainly, not through acquisitions by Equisure,” he says.