A group of investors led by Mexico's Banca Mifel and backed by the U.S. private equity giant Apollo Global Management are in talks with banks for about $2 billion of financing for their bid to buy Citigroup's Mexican retail unit Banamex.

Royal Bank of Canada agreed to buy HSBC Holdings' Canadian unit — the country's seventh-largest bank — for C$13.5 billion ($10 billion) in cash, expanding its roster of business clients and bulking up its retail presence on the West Coast as HSBC focuses on Asia.

The Canadian banking giant reached a five-year deal with community groups that includes $40 billion in investments to underserved groups. BMO aims to close its acquisition of San Francisco-based Bank of the West before the end of the year.

President Andres Manuel Lopez Obrador said he approves of the two known remaining bidders for Citigroup's Mexican retail unit, after other potential buyers were derailed amid strict conditions put forth by Mexico's leader.

M&T lends a hand in the Keystone State, fintech-bank deal is delayed and more in banking news this week.

The $1.1 billion-asset Sikorsky Financial would combine with Bridgeport City Employees Federal Credit Union, which has $32 million of assets.

Banks are underwater on many bonds they bought before interest rates began their sharp rise. The impact has been wide-ranging — decreasing the industry's interest in stock buybacks, dampening the appetite for M&A and raising concerns about some smaller institutions' ability to borrow from the Federal Home Loan banks.

The bank has agreed to pay $113 million for the $500 million-asset Surrey Bancorp, which specializes in credit for small to midsize commercial clients as well as government-guaranteed loans.

The subprime consumer lender, whose stock price has sagged this year, is being sold to an asset management firm. Elevate's CEO told employees that "the current market conditions present a challenging backdrop for our organization and so many others in the consumer finance industry."

Republican control of the U.S. House of Representatives will help advance financial services firms' priorities, with a wish list that includes curbing ambitious proposals by a top markets regulator and diminishing the clout of a popular U.S. consumer watchdog.

Apollo Global Management has agreed to acquire Sector Financial, which focuses on middle-market direct lending, as part of its purchase of a portion of Credit Suisse Group's securitized products group, according to people with knowledge of the matter.

The acquisition will add $8 billion of assets under management to the Illinois bank's wealth subsidiary. It marks another example of U.S. banks bolstering their wealth management businesses in a bid to collect more fee income.

Voyager Digital Ltd. is trying to sign a deal to sell itself to one of the bidders that lost the auction for the bankrupt crypto lender, after the winner of that auction, FTX, was itself forced into insolvency proceedings.

Bonus season is looking grim on Wall Street, with year-end incentive pools expected to drop sharply across the finance industry amid a pullback in mergers and acquisitions, persistent inflation and the threat of a potential recession.

JPMorgan Chase is on the hunt for buyouts to lend to and is hoping to gain market share in leveraged financing after avoiding the dozens of clunkers that have cost competitors billions of dollars.

Highly acquisitive banks that pack on assets without sacrificing employee morale pepper American Banker's annual Best Banks to Work For rankings.

The CEO of Seattle-based Washington Federal says Luther Burbank Corp. was an attractive acquisition target because it offers an entree into California and has a commercial lending operation that could follow WaFd's recipe for growth over the past decade.

The Seattle bank's all-stock deal for Luther Burbank Corp. is expected to close as soon as the second quarter of 2023.

Savanna-Thomson State Bank in Illinois has agreed to buy Fidelity Bank in Iowa and says it expects to complete the acquisition early next year.

Wall Street banks that lent $13 billion to help fund Elon Musk's buyout of Twitter have been quietly sounding out hedge funds and other asset managers for their interest in a chunk of the buyout debt at deeply discounted prices.