TORONTO — Flexiti Financial says it’s acquiring TD Financing Services’ Canadian private label credit card portfolio valued at roughly $250 million.
The Toronto company, which provides point-of-sale financing and payment technology, says the transaction provides it with a million new credit card customers and 900 new store locations for its network.
Flexiti says the added locations bring its total network to 3,500 and make it a leading private label credit card issuer in Canada.
The portfolio of cards targeted towards specific store brands includes merchants in the jewelry, furniture and home improvement categories, such as Peoples, Birks, Ethan Allen, La Z Boy and Kent.
As part of the deal, Globalive Capital will make a $50 million equity investment in Flexiti to give them a controlled position in the company after being a founding investor.
Flexiti says it has also secured $350 million in credit facilities to support the portfolio acquisition and its growth strategy.
The Canadian Press