The deal establishes EQB as exclusive financial partner for 18 million PC Optimum members
EQB Inc. closed its acquisition of President's Choice Bank and affiliated PC Financial entities from Loblaw Companies Limited on July 1, Canada Day. The transaction broadens Equitable Bank's customer base to nearly 4 million Canadians and deepens competition against the country's Big Five lenders.
Settled at 1.15 times book value, the deal was financed through 7.2 million newly issued EQB common shares and $234.5 million in cash.
Loblaw's equity stake in EQB climbed from 3.46% to 19.89% on completion, with rights under a signed Investor Rights Agreement to acquire up to 25% of shares outstanding.
What the deal means for borrowers and brokers
For Canada's mortgage broker channel, the acquisition represents a meaningful shift in the country's alternative lending landscape. EQB Inc. is the parent company of Equitable Bank, Canada's seventh-largest Schedule I bank by assets, with approximately $150 billion in combined assets under management and administration.
Founded in Toronto in 1970, Equitable Bank built its franchise around residential mortgages, including alternative and uninsured products favoured by brokers, as well as commercial lending, reverse mortgages, and savings solutions. Its digital platform, EQ Bank, reported 633,000 customers as of the first quarter of fiscal 2026.
PC Financial, which has been a fixture of Canadian retail banking since launching inside Loblaw supermarkets in 1998, brought a dedicated customer base of more than 2.5 million accounts, credit cards under the PC Mastercard suite, and the PC Money Account — all tied to the PC Optimum loyalty program.
When EQB first announced the deal in December 2025, the transaction was structured as a long-term strategic partnership giving EQB exclusive access to Loblaw's national retail and digital channels.
Based on EQB's figures released when ministerial approval was secured in May 2026, the acquisition is expected to add approximately $5.8 billion in assets and $800 million in direct retail deposits to Equitable Bank's balance sheet.
The in-store network of approximately 180 banking pavilions and more than 600 ATMs at Loblaw retail locations also transfers to EQB, alongside access to the PC Optimum ecosystem's more than 18 million active members.
Board appointments and what comes next
Two Loblaw nominees have joined the EQB Board of Directors: Galen G. Weston, Chairman and Chief Executive Officer of George Weston Limited in Toronto, and Richard Dufresne, President and Chief Financial Officer of George Weston Limited.
"Their deep expertise leading one of the country's largest and most recognisable companies will be instrumental as EQB executes its focused growth strategy, scaling with purpose and discipline," said Mike Pedersen, Chair of the EQB Board of Directors.
Chadwick Westlake, President and Chief Executive Officer of EQB Inc. in Toronto, framed the Canada Day closing as a structural watershed.
"Today, as we celebrate Canada Day, we mark a turning point for Canadian banking," Westlake said.
"This is about scaling growth to elevate competition — bringing more choice, better value and rewards for everyday Canadians."
PC Bank is now a wholly owned subsidiary of Equitable Bank, with capital ratios reflecting its full consolidation. No immediate changes are planned for existing PC Bank customers, who will retain current products and PC Optimum point-earning mechanics unchanged.
Conversion to the EQ Bank platform is set to begin in the coming months, with EQB having appointed new senior leaders from PC Financial to oversee the transition effective July 1.
EQB's third-quarter results will include one month of earnings contribution from the acquired business.
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