Acquisition Marks Major Step by Meridian into Commercial Lease Financing
TORONTO, April 19, 2016 /CNW/ - Meridian, Ontario's largest credit union, today announces it has reached an agreement with The Bank of Nova Scotia and Roynat Inc. to acquire Roynat Lease Finance. The transaction is subject to certain conditions including regulatory approval, and is anticipated to close within a few weeks. Following the closing, Roynat Lease Finance will operate through a wholly owned subsidiary of Meridian.
"Meridian is very excited about this acquisition as Roynat Lease Finance is highly complementary to the strength Meridian has built in our small and commercial lines of business," said Bill Maurin, President and CEO of Meridian. "This is a strategic acquisition that will allow us to diversify our service offering and revenue streams while expanding Meridian's brand beyond Ontario."
As part of the transaction, Meridian has committed to make offers of employment to all Roynat Lease Finance employees and to provide a seamless experience to all Roynat Lease Finance clients.
"We are excited to join forces with Meridian," said Joe LaLeggia, Senior Vice President of Roynat Lease Finance. "Our organizations share a similar value proposition that focuses on strong, relationship-based service that will remain core to the business moving forward."
Roynat Lease Finance provides customized commercial equipment leasing solutions with a specific focus on the small to mid-ticket market and had a portfolio of leases valued at approximately $910 million at the end of 2015. As one of Canada's largest providers of equipment leasing, Roynat Lease Finance has 106 full-time employees and offices across Canada in B.C, Alberta, Saskatchewan, Manitoba, Ontario and Quebec. Upon closing of the transaction, Joe LaLeggia will be appointed President of Meridian's newly acquired lease finance business.
Deloitte acted as exclusive financial advisor to Meridian in connection with this transaction, and Torys LLP acted as legal counsel to Meridian.
With over 70 years of banking history, Meridian is Ontario's largest credit union, helping to grow the lives of its more than a quarter of a million Members, including over 22,000 business Members. Meridian has $13 billion in assets under management and delivers a full range of financial services online, by phone, by mobile and through a network of 76 branches and 7 business centres. Meridian Members also have access to THE EXCHANGE® ATM/ABM Network, with more than 3,300 surcharge-free ABMs across Canada and 360,000 ABMs in the United States. For more information, please visit: meridiancu.ca.
SOURCE Meridian Credit Union
For further information: Diane Medeiros, Manager, Media & Stakeholder Relations, Meridian, 416-597-4444 Ext. 2667