Bank of Montreal agreed to buy Radicle Group Inc., a sustainability-advisory and emissions-measurement firm, to help clients that are working to reduce their environmental impacts.
Calgary-based Radicle, which has 130 employees and more than 4,000 clients, will become part of BMO Capital Markets’ global markets group, the bank said Wednesday. Financial terms of the acquisition, expected to close this year, weren’t disclosed.
BMO Capital Markets has put an increased emphasis on helping its clients shrink their environmental footprints as part of a plan to reduce the emissions from its lending portfolio to net zero by 2050. The bank last year started a dedicated energy-transition group to help customers with net-zero efforts, and a climate institute to research financial risks and opportunities related to climate change.
Radicle, founded in 2008, develops carbon offsets and helps organizations measure and reduce emissions.
“Radicle’s leading expertise and innovative solutions make BMO a market leader in environmental commodity market and carbon credit development capabilities,” Dan Barclay, head of BMO Capital Markets, said in a statement. “These capabilities enhance our commitment to help our clients.”
Citigroup Inc. advised Radicle on the transaction.