A major shake-up in Canadian banking — digital lender EQB Inc. has struck a deal to acquire PC Financial (formerly the banking arm of retail conglomerate Loblaw Companies Ltd.). The acquisition, valued at around CAD 800 million, will see EQB take over PC Financial’s credit-card portfolio, insurance subsidiaries, and retail deposit base.
Also Read: Stock investment Canada for beginners
With this transaction, EQB is set to absorb more than two million active PC Mastercard accounts, add roughly CAD 5.8 billion in assets, and expand its customer base by several million — a sharp jump from its existing reach. The deal also includes insurance-distribution units previously under PC Financial, giving EQB a broader financial-services footprint across banking and insurance.
For customers and investors, this marks a strategic shift: EQB will become the exclusive financial backer of PC’s loyalty program, integrating banking with retail rewards. Meanwhile, Loblaw will retain the loyalty program, focusing on its core retail business and leaving financial services to EQB. For EQB shareholders, the deal involves issuing shares to Loblaw to cover part of the acquisition cost, aligning interests in the newly expanded combined entity.
Also Read: Safe investments for new investors
In broad terms: this move transforms EQB from a relatively small digital bank into a major challenger in Canada’s banking sector, combining digital banking agility with mass retail-customer reach.
Sign Up For our Newsletters to get latest updates
