Dow Jones Newswires
TORONTO --Toronto-Dominion Bank has agreed to sell Canada Trust's MasterCard consumer credit card issuing business to Citibank Canada for an undisclosed amount.
In a news release, Toronto Dominion, which completed its acquisition of Canada Trust in February, said the sale is expected to close in mid-to-late July.
The sale is subject to regulatory and competition bureau approvals.
Toronto-Dominion said the sale also includes the transfer to Citibank Canada of Canada Trust MasterCard facilities and operations in London, Ont., and an offer of employment by Citibank Canada to all active Canada Trust MasterCard consumer credit card employees.
The agreement doesn't include the sale or transition of either party's merchant acquiring business.
Toronto-Dominion is continuing with its existing credit card relationship with Visa, it noted, and Visa Canada doesn't allow a financial institution to be an issuer of both Visa and MasterCard. Citibank Canada will eventually convert all of its Citibank Canada Visa credit card offerings to MasterCard, it said.
Citibank Canada, a Schedule II bank, is part of Citigroup Inc., a New York financial services holding company.
Toronto-Dominion Bank is a Canadian chartered bank.
