By Josh Beckerman
Currency Exchange International plans to cease the operations of its Exchange Bank of Canada unit, a move intended to help the company focus on U.S. growth for its forex and payment software.
EBC is a non-deposit-taking, non-lending Canadian Schedule I bank that buys and sells bank notes and provides payment services. Currency Exchange will pursue referral agreements for the majority of EBC's customers and select employees to well-established Canadian financial businesses.
Currency Exchange said in January that it was considering strategic options for EBC. "The decision to seek discontinuance from the Bank Act for EBC was taken very seriously and not made lightly and reflects a difficult business environment in Canada," it said Tuesday.
Following the cessation of operations, EBC intends to apply to the minister of finance to discontinue from the Bank Act. The voluntary discontinuance is expected to be completed in the fourth quarter, subject to regulatory approvals.
Currency Exchange said its long-term outlook remains positive because of its focus on its growing fintech businesses in the U.S. and anticipated additional new product growth in the U.S. market.
Write to Josh Beckerman at josh.beckerman@wsj.com
(END) Dow Jones Newswires
February 18, 2025 18:55 ET (23:55 GMT)
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