Canada’s CI Financial has executed a major revamp of its business strategy, most notably by entering the U.S. wealth management space in early 2020 and embarking on an aggressive buying spree, but its stock price shows that investors aren’t pleased, according to news reports.

Under new chief executive officer Kurt MacAlpine — a former McKinsey consultant and executive at WisdomTree Asset Management who took the CI helm in 2019 — the firm restructured its Canadian fund-management business, going “from boutiques to one integrated global brand, from individuals running money to teams collaborating together,” MacAlpine told Bloomberg in an interview at CI’s Toronto headquarters.

The Canadian segment remains CI’s main source of cash, but the U.S. unit is where the firm is making its biggest investments, allocating more than $1.2 billion to the business over the past two years, the news service writes, citing Edward Jones analyst Jim Shanahan.

CI has picked up more than two dozen U.S. wealth management firms, bringing in $115 billion in assets, according to Bloomberg. It has also set up a new U.S. headquarters in Miami — where McAlpine is now registered as a resident — and plans to float as much as 20% of its U.S. wealth management business in an initial public offering, the news service writes.

MacAlpine’s radical reorganization of CI’s asset management business led to frustration among investment staff and a slew of departures, most recently by more than a dozen portfolio managers, traders and analysts to the Bank of Montreal, according to the news service.

That doesn’t faze the CEO.

“I could care less if people have a beef,” MacAlpine said, according to Bloomberg. “It was the most clearly articulated thing — exactly how you would get paid, exactly how it was going to be run. They just didn’t like the way it was going to be run.”

Investors aren’t as optimistic about the new strategy either: CI’s shares lost close to half of their value this year, while in April, S&P Global Ratings slashed the firm’s rating to just above junk, the news service writes.

In February, MacAlpine told analysts that the firm’s stock was “criminally undervalued,” but since then the stock price has fallen a further 34%, according to Bloomberg.

For the year, the stock is down 46%, according to the news service. It’s now valued at roughly 4.5 times estimated 2022 earnings, Bloomberg writes, citing its own data.

“Our stock price is down, but the business performance is there,” MacAlpine said, according to the news service.

He added that the firm’s valuation doesn’t reflect the upside of its U.S. strategy, “which is why we’re doing the IPO,” according to Bloomberg.

Shanahan estimates that the IPO could give a roughly $600 million valuation to the unit, according to the news service.

CI chairman Bill Holland, meanwhile, tells Bloomberg that the company may opt to pick up the pace of its share buybacks following the IPO.

Since the beginning of 2020, CI has bought back $587 million of its own shares and its share count is down by roughly a third over the past decade, according to the news service.

“We’re privatizing this business very quickly,” Holland said, according to the news service. “Once the US business is separate, we will continue, probably at a faster rate.”

Holland holds 5% of CI’s stock, making him the No. 2 shareholder in the firm, Bloomberg writes. He told the news service that if the firm stays at the current valuations, “this company will be vastly more private in three or four years than it is today.”