EQB Inc., the parent company of EQ Bank, has completed its acquisition of the banking assets of PC Financial, a move that significantly expands its digital banking footprint in Canada. As part of the deal, two Loblaw-nominated directors have been added to EQB's board of directors, according to a statement released on July 2, 2026.
Deal Details and Strategic Rationale
The acquisition, first announced in early 2026, sees EQB take over PC Financial's deposit portfolio, including savings accounts and term deposits, as well as its credit card business. The financial terms were not disclosed, but analysts estimate the deal could add over $10 billion in deposits to EQB's balance sheet. The transaction positions EQB as a top-10 Canadian bank by assets, competing directly with the Big Six banks in the digital space.
"This acquisition accelerates our strategy to become Canada's leading digital bank," said Andrew Moor, CEO of EQB, in the statement. "We are thrilled to welcome PC Financial customers and to integrate Loblaw's retail expertise through our new board members."
Board Appointments and Loblaw Partnership
The two new board members are Sarah Davis, former CFO of Loblaw, and Robert Sawyer, a former president of Shoppers Drug Mart. Their appointments deepen the strategic partnership between EQB and Loblaw, which owns the PC Financial brand. The collaboration is expected to drive cross-promotional opportunities, including in-store banking services at Loblaw-owned grocery stores and Shoppers Drug Mart locations.
"We are pleased to have representation on EQB's board to ensure the continued success of the PC Financial brand and to explore new ways to serve our customers," said Galen Weston, chairman of Loblaw.
Impact on Canadian Banking Landscape
The deal comes amid a wave of consolidation in Canada's financial services sector, as traditional banks face competition from fintechs and digital-only players. PC Financial, originally launched as a joint venture between Loblaw and CIBC, has over 3 million customers. By acquiring its banking assets, EQB gains a large, loyal customer base and a strong brand presence in the grocery retail space.
Industry experts say the move could pressure other banks to innovate their digital offerings. "This is a game-changer for EQB," said John Aiken, an analyst at Barclays. "They now have the scale and distribution to compete with the incumbents, especially in the mass-market segment."
Customer Transition and Future Plans
PC Financial customers will be transitioned to EQ Bank's platform over the coming months, with no immediate changes to account terms or fees. EQB plans to retain the PC Financial brand for certain products, leveraging Loblaw's loyalty program. The company also announced plans to launch new features, including a high-interest savings account with no fees and a rewards credit card tied to PC Optimum points.
The acquisition is expected to be accretive to EQB's earnings per share in the first full year of integration. Shares of EQB rose 2.3% on the Toronto Stock Exchange following the announcement.
