First announced in December, the move will see Laurentian split between two lending giants
The Laurentian Bank acquisition by Fairstone Bank of Canada is now cleared to close. All key regulatory approvals were confirmed on August 31, with both transactions set to complete on November 1, 2026.
The deal was first announced in December 2025. Rather than a single buyer, Laurentian is being split between two institutions.
Fairstone Bank of Canada is acquiring all of Laurentian's common shares in a deal valued at approximately $1.9 billion. National Bank of Canada (NBC) is acquiring Laurentian's retail and small and medium enterprise (SME) banking portfolios.
Fairstone takes the corporate entity and Laurentian's commercial lending book. NBC absorbs the retail and SME customers, including residential mortgages.
Regulatory approvals now concluded
The approvals announced on August 31 conclude the key regulatory process.
The Canadian Investment Regulatory Organization and the relevant securities regulatory authorities have both signed off. The federal Minister of Finance approved the Fairstone acquisition in June 2026. The Office of the Superintendent of Financial Institutions (OSFI) has also granted its approval. The Competition Act condition has been satisfied, subject to no change in circumstances relating to the Competition Bureau.
The parties expect all remaining closing conditions and pre-closing integration work to be completed before November 1. Assuming that holds, Laurentian's retail and SME products and services are set to migrate to NBC by late 2026.
For brokers, the Laurentian Bank acquisition means one immediate priority: confirm client contact details are up to date, watch for formal migration notices, and flag November 1 with any clients holding Laurentian Bank mortgage or deposit products moving to NBC.
What brokers need to know about the mortgage book
The NBC side of the deal is where brokers should focus their attention.
Laurentian's total residential mortgage loans stood at $13.2 billion on its balance sheet as at its most recent quarter. A further $2.3 billion had already been classified as held for sale in connection with the NBC transaction, according to the bank's quarterly results.
B2B Bank is Laurentian's broker-facing subsidiary, serving around 27,000 financial advisers and mortgage brokers across Canada. According to the investor relations page on Laurentian Bank’s website, B2B Bank will move to Fairstone as part of the corporate acquisition. The deal also includes Laurentian's commercial real estate financing and capital markets subsidiaries.
Laurentian has committed to sending clear communications to affected customers before closing. Those notices will outline what the migration to NBC means for their products and services.
The three-way structure explained
Understanding who owns what after November 1 means keeping three entities in mind.
Fairstone Bank of Canada – which completed its merger with Home Trust Company in January 2025 to become Canada's leading alternative lender – is buying the Laurentian corporate shell.
It will merge its commercial lending operations with Laurentian's commercial specialisation. The combined entity will focus on commercial real estate, inventory financing, and equipment financing, with a particular emphasis on Québec.
NBC, with $618 billion in assets as at April 30, 2026, is taking on the retail and SME portfolios. It already holds a strong presence in Québec. The transaction deepens its deposit base and retail client relationships in the province.
Laurentian Bank will continue to operate under its own brand following the close, with its head office remaining in Montréal. The institution, founded in 1846, becomes a wholly owned subsidiary of Fairstone rather than disappearing entirely.
What Canadian brokers should do now
Verify that client contact details held by Laurentian are current before November 1. Migration notices will go to the address on file. Review any Laurentian mortgage renewals falling due in late 2026, and flag the ownership change proactively rather than waiting for clients to ask.
Watch for B2B Bank communications from Fairstone after November 1. The subsidiary moves to Fairstone as part of the corporate acquisition. Laurentian's transaction FAQ page is the most current source of detail in the meantime.
