This exciting investment in HomeEquity Bank will allow the company to pursue its next stage of growth and innovation
TORONTO, Ontario, July 4, 2022 – The Board of the Ontario Teachers’ Pension Plan (“Teachers”) announced today that it has completed the acquisition of HOMEQ Corporation (“HomeQ”), the parent company of HomeEquity Bank, from Birch Hill Equity Partners Management Inc. (“Birch Hill”) and the other minority shareholders of HomeQ, in a deal first announced in September 2021.
The acquisition by Ontario Teachers’ represents the organization’s continued vision to invest in successful Canadian financial services companies like HomeEquity Bank, which is focused on serving retired Canadians through pioneering approaches to building wealth and financial security.
“We look forward to supporting the growth of HomeEquity Bank and believe in its incredible potential,” said Jeff Markusson, Senior Managing Director, Financial Services, Private Capital at Ontario Teachers’. “They have impressive growth prospects, a compelling value proposition, a high quality management team and share our vision of improving the lives of Canadian retirees.”
HomeEquity Bank is the largest bank in Canada to offer reverse mortgage solutions, including the flagship product, the CHIP Reverse Mortgage. The value of HomeEquity Bank’s total reverse mortgage portfolio under management now stands at $5.7 billion.
With a 35-year history of helping Canadians aged 55 and older stay in their homes by accessing their home equity, HomeEquity Bank is well positioned for continued growth as more Canadians approach retirement. retirement age and are looking for solutions to generate income and create wealth. HomeEquity Bank recorded over $1 billion in reverse mortgages in 2021, a first for the bank and a 28% increase from 2020.
“We are extremely proud of Ontario Teachers’ confidence and investment in our business and our vision,” said Steven Ranson, President and CEO of HomeEquity Bank. “We will continue to work hard to meet the needs of Canadian homeowners aged 55 and over with innovative financial planning solutions. I would also like to thank Birch Hill for fully supporting the goals and success of HomeEquity Bank over the past nine years.
Teachers’ was advised by TD Securities Inc. as financial advisor, with Blake, Cassels & Graydon, LLP as legal advisor. HomeQ’s legal counsel was Torys LLP.
About HomeEquity Bank
HomeEquity Bank is a Canadian Schedule 1 bank offering a range of reverse mortgage solutions, including the flagship product CHIP Reverse Mortgage™. The company was founded over 35 years ago to meet the financial needs of Canadians who wanted access to equity in their primary asset – their home. The Bank is committed to giving Canadians aged 55 and over the means to live the retirement they deserve, in the home they love. HomeEquity Bank is a holding company of the Ontario Teachers’ Pension Board, a global investor that provides retirement income to 333,000 current and retired teachers in Ontario. For more information, visit www.chip.ca
About Teachers’
The Ontario Teachers’ Pension Board is a global investor with net assets of C$241.6 billion as of December 31, 2021. We invest in more than 50 countries in everything from stocks and real estate to infrastructure and growth provide retirement income to 333,000 current and retired Ontario teachers.
With offices in Hong Kong, London, San Francisco, Singapore and Toronto, our more than 350 investment professionals bring deep expertise in sectors ranging from agriculture to artificial intelligence. We are a fully funded defined benefit pension plan and have earned a total annual net return of 9.7% since the plan’s inception in 1990. At Ontario Teachers’, we don’t just invest to make a return, we invest to shape a better future for the teachers we serve, the businesses we support and the world we live in. For more information, visit otpp.com and follow us on Twitter @OtppInfo.
Media Contacts
HomeEquity Bank
Yvonne Ziomecki
Executive Vice President Marketing & Sales
Telephone: (416) 554-1669
Email: yziomecki@heb.ca
Ontario teachers
Dan Madge
Director, External Communications
Phone: (416) 419-1437
Email: media@otpp.com
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