TORONTO, ONTARIO -- (Marketwired) -- 04/05/13 -- Equity Financial Holdings Inc. (TSX: EQI), a Canadian financial services company serving the alternative retail mortgage market, today announced the closing of the previously announced sale of its transfer agent and corporate trust business to the TMX Group. Equity shareholders approved the sale at the Annual and Special Meeting of Shareholders on April 2, 2013.
"This is a very exciting time for Equity," said Equity President & CEO, Paul G. Smith. "The sale of the transfer agent and corporate trust business provides us with the necessary capital to focus our strategy and invest in our rapidly growing retail mortgage lending and deposit-taking business. By harnessing the growth potential of the alternative retail mortgage market, we believe we will be able to generate significant value over the coming years."
Under the terms of the transaction agreement, announced on February 13, 2013, TMX Group acquired Equity's transfer agent and corporate trust business for $64 million payable in cash at closing, subject to certain closing price adjustments.
About Equity Financial Holdings Inc.
Equity is a Canadian financial services company serving the alternative retail mortgage market through its federally regulated and wholly-owned subsidiary, Equity Financial Trust Company. Learn more at www.equityfinancialholdings.com.
Statements regarding Forward-Looking Information
Certain portions of this press release as well as other public statements by the Corporation contain "forward-looking information" within the meaning of applicable Canadian securities legislation, which is also referred to as "forward-looking statements", which may not be based on historical fact. Wherever possible, words such as "will", "plans," "expects," "targets," "continue", "estimates," "scheduled," "anticipates," "believes," "intends," "may," and similar expressions or statements that certain actions, events or results "may," "could," "would," "might" or "will" be taken, occur or be achieved, have been used to identify forward-looking information. Such forward-looking statements include, without limitation, statements regarding any information as to future financial or operating performance and other statements that express expectations or estimates of future performance, including statements regarding the Corporation's EBITDA and earnings expectations for the mortgage and deposit business, fee income, expense levels, the sale of Equity's transfer agent and corporate trust services business to the TMX and the anticipated effect of the sale transaction on its business, operations and financial results, the Corporation's expected need for regulatory capital, the expected timing of the Corporation's previously disclosed wind-down of its day-to-day retail foreign exchange operations and its expected impact on the Corporation's business, operations and financial results, general economic, political and market factors in North America and internationally, interest and foreign exchange rates, global equity and capital markets, business competition, technological change, changes in government regulations, unexpected judicial or regulatory proceedings, catastrophic events, and the Corporation's ability to complete strategic transactions and integrate acquisitions and other factors.
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