RBC to buy HSBC Bank Canada in $13.5 billion acquisition
CHILLIWACK — The Royal Bank of Canada, which has two retail branches in Chilliwack, has come to terms on a proposed $13.5 billion acquisition of HSBC Bank Canada.
Under the terms of the agreement, RBC will acquire 100 per cent of the common shares of HSBC Canada for an all-cash purchase price of $13.5 billion. All of HSBC Canada’s earnings from June 30, 2022 through close will accrue to RBC.
“HSBC Canada offers the opportunity to add a complementary business and client base in the market we know best and where we can deliver strong returns and client value given our financial strength and award-winning service,” said Dave McKay, President & CEO, RBC. “This also positions us as the bank of choice for commercial clients with international needs, newcomers to Canada and affluent clients who need global banking and wealth management capabilities. It will help us better serve global clients looking to invest and grow in Canada.”
“This acquisition builds on our core domestic retail business and expands our international product capabilities,” said Neil McLaughlin, Group Head, Personal & Commercial Banking, RBC. “We look forward to welcoming HSBC Canada’s talented employees after the transaction closes and supporting them as they continue to serve their clients. With strong cultural and risk alignment and a shared focus on client service, we can build together on HSBC Canada’s leading international products.”
