National Bank Open on Takeovers While Digesting TD DealDoug Alexander
National Bank of Canada, the country’s sixth-biggest bank, is open to more wealth-management deals outside Quebec as it integrates its takeover of Toronto-Dominion Bank’s institutional services business, Chief Financial Officer Ghislain Parent said.
National Bank’s priority is to “digest” its C$250 million ($234 million) purchase of TD Waterhouse Institutional Services, which closed on Nov. 12, and spend 2014 consolidating the business into the operations of the Montreal-based lender, Parent said today in an interview.
“But we have open eyes,” Parent said. “If something interesting would come, for sure we’ll look at it especially if it’s outside the province of Quebec.” The bank’s strategy is to increase its revenue outside the province by acquiring businesses in wealth management, Parent said.
National Bank has expanded its wealth-management unit in the past three years through takeovers of the Canadian investment advisory businesses of HSBC Holdings Plc and Toronto-based Wellington West Holdings Inc.
National Bank earlier today posted fourth-quarter profit that fell 4 percent on costs tied to acquisitions and severance. Net income for the period ended Oct. 31 slid to C$337 million, or C$1.89 a share, from C$351 million, or C$1.97, a year earlier.