Scotiabank Invests $0.8 Billion in KeyCorp

By Tamara Parker • Saturday, August 31 07:56 • Permanent Link

KeyCorp (NYSE: KEY) has announced that Scotiabank has completed the initial purchase of KeyCorp's common stock with an investment of approximately $0.8 billion, resulting in Scotiabank now owning approximately 4.9% of KeyCorp's common stock. This investment is part of an agreement under which Scotiabank will make a strategic minority investment in KeyCorp of approximately $2.8 billion, representing approximately 14.9% pro forma common stock ownership, for a fixed price of $17.17 per share.

The final purchase of approximately $2.0 billion is expected to be completed upon receipt of Federal Reserve approval, which is anticipated to occur in the first quarter of 2025.

KeyCorp, one of the nation's largest bank-based financial services companies, had assets of approximately $187 billion at June 30, 2024, and provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states. The company operates through a network of approximately 1,000 branches and approximately 1,200 ATMs. Additionally, KeyCorp offers corporate and investment banking products, including As a result of these announcements, the company's shares have moved 1.1% on the market, and are now trading at a price of $17.06. For more information, read the company's full 8-K submission here.

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