BMO First North American Bank to Issue Labelled Indigenous Bond in Support of Indigenous-Owned Businesses and Indigenous Communities

TORONTO, Oct. 23, 2025 /CNW/ - BMO today announced the offering of a CAD $200 million 4-year callable (4NC3) Fixed-to-Floating Rate Indigenous Bond and welcomed Cedar Leaf Capital Inc., Canada's first majority Indigenous-owned investment dealer, to the dealer syndicate. Proceeds from the offering will be allocated toward Indigenous-owned enterprises and Indigenous communities, as outlined in BMO's Sustainable Bond Framework (the "Framework").

"For more than thirty years, BMO's Indigenous Banking Unit (IBU) has worked closely with Indigenous communities and clients across Canada, helping to advance economic independence and providing support as they shape their futures," said Jonathan Hackett, Head of Sustainable Finance, BMO. "Following in the IBU's footsteps of innovation and developing new solutions for their clients, we are excited to be the first bank in North America to issue a labelled Indigenous Bond to support our work with Indigenous-owned businesses and Indigenous communities."

Leveraging our Sustainable Bond Framework to build solutions

The Indigenous Bond is issued pursuant to BMO's Framework, which aligns to BMO's Purpose to Boldly Grow the Good in business and life, for a thriving economy, a sustainable future, and an inclusive society. The Framework defines eligible assets across eleven green, four social, and three transition categories and each category contributes to advancing the UN Sustainable Development Goals and solving global challenges across sustainability and economic empowerment. The Framework is aligned with the International Capital Market Association's ("ICMA") Green Bond Principles, Social Bond Principles, Sustainability Bond Guidelines, and the Climate Transition Finance Handbook, and BMO obtained a second party opinion from Moody's on the Framework.

The offering is expected to close on October 27, 2025. BMO Capital Markets is acting as lead agent and Cedar Leaf Capital is serving as co-manager on the issue. BMO will report publicly on the use of the Indigenous Bond proceeds within one year of issuance and annually thereafter.

About BMO Financial Group

BMO Financial Group is the seventh largest bank in North America by assets, with total assets of $1.4 trillion as of July 31, 2025. Serving customers for 200 years and counting, BMO is a diverse team of highly engaged employees providing a broad range of personal and commercial banking, wealth management, global markets and investment banking products and services to 13 million customers across Canada, the United States, and in select markets globally. Driven by a single purpose, to Boldly Grow the Good in business and life, BMO is committed to driving positive change in the world, and making progress for a thriving economy, sustainable future, and inclusive society.

SOURCE BMO Financial Group

Media Contact: Kelly Hechler, Toronto, [email protected], [phone]