Francisco Partners to Acquire Moneris for C$2 Billion

Technology investment firm Francisco Partners entered into an agreement to acquire Moneris Solutions Corporation from joint owners Royal Bank of Canada and BMO Financial Group. The transaction is valued at approximately C$2 billion, with the two banks each receiving a 50% share of the proceeds. The deal is expected to close by the end of the first quarter of fiscal year 2027, pending regulatory approvals.

BMO Financial Group expects to record an after-tax gain of approximately C$600 million and anticipates the sale will improve its common equity Tier 1 ratio by about 15 basis points. Royal Bank of Canada expects an after-tax gain of approximately C$475 million.

To maintain their commercial ties, BMO and RBC will establish new exclusive, long-term referral arrangements with Moneris. Moneris CEO James Hicks noted that the relationships with the banks extend beyond ownership, while BMO's Sharon Haward-Laird described the transition as a new chapter for the payment solutions provider.