The Toronto-Dominion Bank (NYSE: TD) and Wells Fargo & company (NYSE: WFC) have reported a definitive agreement that is subject to certain closing condition where TD will acquire Wells Fargo’s Canadian direct Equipment Finance Business. This acquisition will add scale and capabilities to TD’s current Canadian Equipment Financing business and expand its presence in core market. “In today’s challenging operating environment, businesses are looking to their bankers to help keep their fleets current, deliver new construction equipment to job sites, and support manufacturing businesses with timely customized financing and leasing solutions that help drive their competitiveness,” says Darren Cooke, Vice President, TD Equipment Finance, Canadian Business Banking, TD Bank Group. “We are excited to welcome Wells Fargo’s Canadian Direct Equipment Finance team of highly skilled and experienced industry professionals to TD and leverage their deep expertise in equipment leasing and finance for the benefit of our highly-valued customers nationwide.”
“We have enjoyed a relationship with TD for many years, as Canada is an important market for Wells Fargo,” said David Marks, Head of Wells Fargo Commercial Capital. “This group of talented Canada-based employees and their equipment finance customers will benefit from TD’s strong franchise and allow us to focus our efforts on our U.S. equipment finance capabilities while continuing to serve our asset-based lending and distribution finance customers in Canada. We anticipate a smooth transition and we’re confident that the group’s strong focus on customers, deep relationships and industry expertise will complement TD’s existing business.”
“This acquisition will be welcome news for both our existing and potential new customers. It expands our competitive position in Canada’s Equipment Finance industry, builds on our strong track record of legendary customer service, and puts us in a unique position to offer an increased range of in-demand products and services,” says David Pinsonneault, Executive Vice President, Commercial and Industrial, Canadian Business Banking, TD Bank Group.
The first purchase of the Canadian Direct Equipment Finance business is expected to close within the first half of 2021 as it is subject to receipt of regulatory and Competition Act clearance and approvals, including the satisfaction of other customary closing conditions.