The Globe and Mail reports in its Wednesday edition that Desjardins Securities analyst Doug Young says Industrial Alliance Insurance and Financial Services' ($55.41) acquisition of HollisWealth from Bank of Nova Scotia is in line with management's strategy and appears to be a "good" deal. The Globe's David Leeder writes in the Eye On Equities column that Mr. Young, in reaction to the deal, downgraded Industrial Alliance to "hold" from "buy," based on price appreciation and a 6.2-per-cent total return to his revised target price. Mr. Young elevated his share target to $59 from $56. Analysts on average target the shares at $54.80. Mr. Young says in a note: "IAG will pay [about 0.70 per cent of AUA (all cash; which today equates to $238-million), which is slightly below what we would expect for a dealer network and less than past comparable deals. There will be an adjustment to the purchase price depending on the level of capital delivered at closing. It is unclear if this includes adviser retention agreements; if not, this could be an additional cost for IAG. The deal is expected to close in 3Q17, subject to applicable regulatory approvals. ... We expect the deal to be slightly dilutive to EPS in 2017."