Nov 13 (Reuters) - Canada's ECN Capital ( ECNCF ) said

late on Thursday a Warburg Pincus-led investor group will buy

the financial services firm in a C$1.9 billion ($1.35 billion)

deal, signaling growing private-equity interest in the sector

following policy easing.

Financial services in Canada are expected to benefit from

lower capital costs after the country's central bank cut its key

benchmark rate last month, following a pause earlier this year

as policymakers assessed the economic impact of U.S. tariffs on

growth and prices.

Dealmaking also rebounded across the Wall Street after an

earlier lull caused by macroeconomic volatility linked to U.S.

trade policy.

The investor group will pay C$3.10 per common share in cash,

representing a premium of 13% over Wednesday's closing price.

ECN shares closed at C$3.07 on Thursday.

The deal, expected to close in the first half of 2026, would

take ECN private after more than a nine-year run on the Toronto

Stock Exchange, following its separation from Element Financial

in October 2016.

The transaction also reflects a broader market trend of

financing buyouts with cash-and-stock due to the narrowing gap

between the pre-tax costs of equity and debt.

In August, Guardian Capital Group agreed to be taken private

by Desjardins Global Asset Management in a C$1.67 billion deal.

ECN Capital ( ECNCF ) helps banks and asset managers by creating,

managing and advising on loans. It focuses on manufactured

homes, recreational vehicle and marine financing using

technology to simplify loan origination.

($1 = 1.4024 Canadian dollars)