Finance

TD Bank Seeks to Raise $14 Billion in Schwab Stake Exit

  • TD selling entire 10.1% Schwab stake in secondary offering
  • Bank plans to buy back C$8 billion of its own shares

Pedestrians pass in front of a TD Ameritrade Holding branch in New York.

Photographer: Gabby Jones/Bloomberg
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Toronto-Dominion Bank expects to raise about $14 billion through the sale of its entire stake in Charles Schwab Corp. as part of a corporate overhaul in the wake of its historic US money-laundering settlement.

Toronto-Dominion will sell 184.7 million shares of Schwab’s common stock — representing 10.1% economic ownership — it said in a statementBloomberg Terminal Monday, teeing up the biggest secondary share offering this year. Schwab has agreedBloomberg Terminal to buy back $1.5 billion of its shares from TD, conditional on the completion of the offering.