EQB completes PC Financial acquisition from Loblaw for $234.5M

EQB Inc. (TSX: EQB) has completed its acquisition of PC Financial from Loblaw Companies Limited (TSX: L), according to a press release issued July 1, 2026.

The deal, which includes President's Choice Bank, PC Financial Insurance Agency Inc., PC Financial Insurance Broker Inc., and certain affiliated entities, was priced at 1.15x book value. EQB paid $234.5 million in cash and issued 7.2 million common shares to Loblaw as consideration.

Following the transaction, Loblaw holds beneficial ownership of 8,457,601 EQB common shares, representing approximately 19.89% of issued and outstanding shares, up from approximately 3.46% prior to the acquisition. Under an Investor Rights Agreement, Loblaw may acquire additional EQB shares up to a maximum of 25% of issued and outstanding shares. Loblaw intends to enter an automatic share purchase plan with a broker on or about July 15, 2026 to facilitate further purchases.

PC Bank is now a wholly owned subsidiary of Equitable Bank. EQB said its third-quarter results will include one month of earnings from PC Financial.

As part of the transaction, Galen G. Weston, Chairman and CEO of George Weston Limited and Chairman of Loblaw, and Richard Dufresne, President and CFO of George Weston Limited and CFO of Loblaw, have joined the EQB Board of Directors as Loblaw nominees.

EQB said there will be no immediate changes to the banking experience for existing PC Bank customers, including how they earn and redeem PC Optimum points. PC Financial's approximately 180 in-store banking pavilions and more than 600 ATMs at Loblaw retail locations will continue to operate. The PC Optimum loyalty program will continue to be owned and operated by Loblaw.

EQB said it plans to begin transitioning PC Bank clients to the EQ Bank platform in the coming months. The acquisition expands EQB's customer base to nearly 4 million Canadians and establishes EQB as the exclusive financial services partner for the PC Optimum loyalty program, which has more than 18 million active members.

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