Toronto-Dominion Bank (TD Bank) and First Horizon have terminated their proposed $13.4 billion merger due to regulatory approval delays. TD Bank will pay $200 million in cash to First Horizon as part of the termination agreement.
Facts
- TD Bank and First Horizon have mutually terminated their proposed $13.4 billion merger.
- TD Bank was unable to obtain a timetable for regulatory approvals unrelated to First Horizon.
- TD Bank will pay $200 million in cash to First Horizon as part of the termination agreement.
- First Horizon will receive a $25 million fee reimbursement as per the terms of the merger.
- The merger involved TD Bank purchasing First Horizon in an all-cash transaction for $13.4 billion.
- TD Bank CEO Bharat Masrani believed the merger would provide the bank with immediate presence and growth opportunities in the US Southeast markets.
- The shares of First Horizon Series G Preferred Stock purchased by TD Bank will maintain a conversion price of $25 per share.
- First Horizon’s CEO, Bryan Jordan, emphasizes the firm’s strong capital position, credit quality, expense control measures, and stable funding.
- TD Bank’s CEO, Bharat Masrani, expresses disappointment but highlights the bank’s strong franchise in the United States moving forward.
