Bank of Montreal (BMO)

BMO closed the sale of its Transportation Finance and Vendor Finance businesses to Stonepeak on 29 October 2026 2. At closing it transferred about 75 percent, or C$11 billion, of an estimated C$14.5 billion in loans and leases, and the rest is due to move in the first quarter of fiscal 2027 2. The businesses now operate as Longview Capital Solutions, and BMO holds 19.9 percent of the Stonepeak-managed entity that acquired them 2.

For the quarter ended 31 July 2026, BMO reported net income of C$1,750 million, down 25 percent, because of a goodwill charge tied to that sale 1. Adjusted net income, which leaves out such one-off items, rose 19 percent to C$2,859 million 1. Chief executive Darryl White said every business segment delivered record pre-provision pre-tax earnings 1.

On 20 October 2026 BMO named Tim Cox head of its U.S. business from 1 November, as Darrel Hackett plans to retire as U.S. chief executive after more than 22 years 3.

Two more deals are still open 5. The Moneris payments business, owned jointly with Royal Bank of Canada, is to be sold, with closing expected by the end of the first quarter of fiscal 2027 5. The purchase of an Australian mining-focused capital markets business is expected to close in the fourth quarter of calendar 2026 5.

Bank of Montreal started business in Montreal in 1817 and was incorporated in 1821 by an Act of Lower Canada as the first Canadian chartered bank 9. Since 1871 it has been a chartered bank under the Bank Act, the law that governs its operations 9.

BMO acquired its transportation finance group from GE Capital in 2015, FreightWaves reported 11. That group became one of the bank's larger lending lines in the U.S. and Canada, and it is the business sold to Stonepeak in 2026 6.

On 1 February 2023 BMO completed the purchase of Bank of the West and its subsidiaries from BNP for a cash price of US$13.8 billion 9. On 1 June 2023 it added the AIR MILES rewards program, bought from LoyaltyOne for US$160 million in cash 9. Acquisition and integration costs, which cover Bank of the West among other deals, fell to C$13 million in the latest year from C$129 million the year before 10.

In the year ended 31 October 2025, revenue rose to C$36,274 million from C$32,795 million 10. Net interest income, the gap between what loans earn and what deposits cost, grew to C$21,487 million from C$19,468 million 10.

Reported net income rose 19 percent to C$8,725 million 10. The bank said higher revenue and a lower provision for credit losses, the money set aside for loans that may go bad, drove the gain, partly offset by higher expenses 10.

U.S. Banking earned C$2,810 million in fiscal 2025 against C$2,010 million a year earlier, as its provision for credit losses fell to C$1,043 million from C$1,677 million 10. Capital Markets earned C$1,977 million, up from C$1,492 million 10. Canadian P&C slipped to C$3,295 million from C$3,457 million 10.

BMO ran no share repurchase programs in fiscal 2023 or 2024 9. It then repurchased 22.2 million common shares in fiscal 2025 under two programs 9. On 1 November 2025 it completed the purchase of Burgundy Asset Management, a Canadian independent wealth manager, for C$625 million 9.

On 16 October 2025 BMO agreed to sell 138 U.S. branches to First-Citizens Bank & Trust, which would assume about US$5.7 billion in deposits and purchase about US$1.1 billion in loans, the Canadian Press reported 12. BMO also said it planned to open 150 new branches over five years, focused on California 12.

At its Investor Day on 26 March 2026, BMO said it was aiming for a return on equity, profit as a share of shareholders' money, of more than 15 percent by 2028, Reuters reported 7. It had reported 12.1 percent for the first quarter 7. Bloomberg described the same 15 percent goal as due by the end of fiscal 2027 8.

The branch sale to First Citizens closed on 4 September 2026 4. The transportation and vendor finance sale to Stonepeak, agreed on 11 May 2026, closed on 29 October 2026 62.

The bank at a glance

BMO is the eighth largest bank in North America by assets, with total assets of C$1.5 trillion as of 31 July 2026 2. It reported more than 53,000 full-time equivalent employees at 31 October 2025 and serves clients through more than 1,800 bank branches, automated banking machines and online platforms 9. It works through four operating segments: Canadian Personal and Commercial Banking, U.S. Banking, Wealth Management and Capital Markets, supported by Corporate Services 9.

Canadian Personal and Commercial Banking

This is the home-market bank, with deposits, lending, cash management and everyday advice for individuals and businesses across Canada, through branches, contact centres and digital channels 9. Canadian Commercial Banking adds financing, treasury and payment services and risk management products for companies 9. Net income was C$3,295 million in fiscal 2025 10.

In the third quarter of 2026 it earned C$980 million, up 16 percent, on 6 percent higher revenue and a lower provision for credit losses 1. On 28 October 2026 BMO raised its Canadian prime lending rate, its benchmark for lending, from 4.45 percent to 4.70 percent, effective 29 October 16.

U.S. Banking

U.S. Banking covers personal and business banking, commercial banking and private wealth across the United States 9. Its net income was C$2,810 million in fiscal 2025 10. In the third quarter of 2026 it was US$620 million, up 11 percent 1.

BMO completed the sale of 138 branches in states including North Dakota, South Dakota, Wyoming and Nebraska on 4 September 2026 4. The bank has said it plans to open 150 new branches over five years, focused on California 12.

Transportation and vendor finance, now sold

Transportation Finance lends to buyers of trucks and trailers, mostly through dealers, and Vendor Finance finances equipment sold through manufacturers and their dealers 6. At 31 July 2026 the loans stood at about US$9.2 billion in U.S. Banking and C$1.7 billion in Canadian P&C 5.

The sale closed on 29 October 2026 and the group now operates as Longview Capital Solutions 2. FreightWaves reported that its management team stays in place 11.

Wealth Management

Wealth Management serves individuals, families, business owners and institutions in Canada with wealth, asset management and insurance products 9. Its parts include Private Wealth, BMO InvestorLine for online investing, Global Asset Management and BMO Insurance 9. It earned C$1,381 million in fiscal 2025 and had C$390,282 million in assets under management 10.

In the third quarter of 2026 reported net income was C$408 million, up 4 percent, and adjusted net income was C$480 million, up 22 percent 1.

Capital Markets

Capital Markets serves corporate, institutional and government clients with investment and corporate banking, and with sales and trading in debt, currencies, interest rates, credit, equities and commodities 9. It earned C$1,977 million in fiscal 2025 10. In the third quarter of 2026 it earned C$645 million, up 46 percent 1.

Bloomberg reported that about half of the unit's earnings come from the U.S. 8. In the second quarter of 2026, global markets revenue was C$1.32 billion, up 15 percent, and investment and corporate banking revenue was C$792 million, up 26 percent 8.

People

Darryl White is chief executive, listed first among the executive officers as at 3 December 2025 9. Rahul Nalgirkar became chief financial officer on 1 January 2026, succeeding Tayfun Tuzun, who planned to retire 9.

Tim Cox joined BMO in 2010 and has been U.S. general counsel since 2022 3. He takes over as head of the U.S. business on 1 November 2026 3.

Rivals

In Canada the bank says its services compare most directly with those of the other five major Canadian banks, which compete with it in almost all its businesses 9. In the U.S. it calls itself a top 10 full-service bank that competes with large U.S. banks, regional banks, community banks and non-bank providers 9.

Current problems and open items

The third-quarter 2026 provision for credit losses was C$722 million, down from C$797 million 1. On the second-quarter call, Chief Risk Officer Piyush Agrawal pointed to economic headwinds in Canada and rising consumer insolvencies that were pressuring unsecured borrowers, Bloomberg reported 8.

The Moneris sale needs approval under Canada's Retail Payment Activities Act and Competition Act 14. The Euroz Hartleys purchase needs that company's shareholders and regulators to approve 5.

The umbrella, in words

Bank of Montreal brands its member companies as BMO Financial Group 9. BMO Financial Corp., headquartered in Chicago, is wholly owned by the bank and operates mainly through BMO Bank (BBNA in the filing), which provides banking, financing, investing and cash management in the United States 9. The bank owns two FDIC-insured U.S. depository institutions, BBNA and BMO Harris Central 9.

Investment dealer services run through entities including BMO Nesbitt Burns Inc., a Canadian investment dealer, and BMO Capital Markets Corp., the bank's wholly owned U.S. registered broker dealer 9. AIR MILES operates as a wholly owned subsidiary 9.

The bank owns 50 percent of Moneris Solutions, a payments company held jointly with Royal Bank of Canada, and on 10 August 2026 agreed a sale of it to Francisco Partners 5. Reuters reported the deal is valued at C$2 billion, with BMO and RBC each receiving 50 percent 13. It has invested in a 19.9 percent interest in the Stonepeak-managed entity that now holds its former transportation and vendor finance businesses 2.

Its head office is at 129 rue Saint Jacques in Montreal, and its executive offices are at 100 King Street West, 1 First Canadian Place, in Toronto 9. The Bank Act bars any person from being a major shareholder, meaning more than 20 percent of a class of voting shares 9. It also requires the Minister of Finance's approval before anyone holds more than 10 percent of any class of shares 9.

BMO said the rest of the transportation and vendor finance portfolio is expected to transfer in the first quarter of fiscal 2027 2. It also said the closing should lift its CET1 ratio, a measure of capital strength, by about 23 basis points in the fourth quarter of fiscal 2026 2.

The Moneris sale is expected to close by the end of the first quarter of fiscal 2027, and BMO expects a gain of about C$620 million before tax at closing 5. Wealth Professional reported that BMO and RBC will each sign long-term referral agreements with Moneris 14.

BMO expects the divestitures together to add about 50 basis points to its CET1 ratio on closing 5. The Euroz Hartleys purchase in Australia is expected to close in the fourth quarter of calendar 2026 5. The acquired business would then form part of the Capital Markets segment 5.

On 25 August 2026 BMO said it intends to set up a new normal course issuer bid, its share repurchase program, for up to 25 million common shares 1. The bid needs approval from the banking regulator OSFI and the Toronto Stock Exchange 1. BMO declared a fourth-quarter 2026 dividend of C$1.71 per common share, unchanged from the prior quarter 1.

White said on 25 August 2026 that the bank will keep reallocating capital toward profitable loan growth, talent, technology and AI-powered capabilities, and returns to shareholders 1.

Chief executive Darryl White told the March 2026 Investor Day the bank has "a clear line of sight to 15 per cent ROE" 7. Reuters put the deadline at 2028, while Bloomberg reported the end of fiscal 2027 78.

Tim Cox starts as U.S. country head on 1 November 2026 3. BMO's next annual meeting of shareholders is set for 14 April 2027 1.