TCF buys ECN Capital's service finance business for $2 billion (updated)

ECN Capital

10/08/2021 22:22

(Adds details on deal)
    Aug 10 (Reuters) - Truist Financial Corp  TFC.N  said on
Tuesday it would buy ECN Capital Corp's  ECN.TO  service finance
business for $2 billion, aiming to expand its point-of-sale
lending business.
    After the deal's expected close in the fourth quarter of
2021, ECN Capital intends to pay a special dividend of C$7.50
per common share, or about $1.5 billion, from the net proceeds
to its common shareholders.
    ECN Capital acquired Service Finance Holdings LLC for C$410
million ($327.53 million) in cash in 2017. 
    Truist said the acquisition would add to earnings per share
from the second year after the deal close. 
    
    


($1 = 1.2518 Canadian dollars)

 (Reporting by Mrinalika Roy in Bengaluru; Editing by Devika
Syamnath)
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