Canadian Western Bank soars on $3.6 bln buyout deal with National Bank

EQB

12/06/2024 15:52

(Updates)
    ** Shares of Canadian Western Bank  CWB.TO  jump as much as
76.8%; last up 68.8% at C$42.02
    ** National Bank of Canada  NA.TO  shares fall as much as
6%; last down 5.6% at C$109.78
    ** National Bank has agreed to buy smaller rival Canadian
Western Bank for about C$5 bln ($3.63 bln), the banks said late
Tuesday 
    ** Each CWB share will be exchanged for 0.45 of a common
share of National Bank, valuing CWB at C$52.24/shr, a 110%
premium to stock's last close
    ** Deal combining Canada's sixth- and eighth-largest banks
expected to close by end of 2025
    ** Smaller Canadian lenders Laurentian Bank  LB.TO  and EQB
 EQB.TO  also rise 6.5% and 4.3%, respectively
($1 = 1.3756 Canadian dollars)

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com;))