Canada’s TD Bank is divesting a portion of its merchant processing business to Fiserv as part of a broader agreement with the US payments company.
Under a multi-year strategic management services program, TD Merchant Solutions will utilize Fiserv technology, including the Clover point-of-sale system. Fiserv will also acquire a portfolio of approximately 3,400 TD merchant relationships across 30,000 locations, which will transition to the US firm’s processing system and Clover.
This move enhances Fiserv’s presence in Canada, while TD aims to streamline its merchant business and reduce costs over time. Barbara Hooper, group head of Canadian business banking at TD, commented, “This strategic relationship with Fiserv will directly benefit our clients by combining Clover, Fiserv’s innovative merchant product offering, with our business banking solutions, enabling our merchants to leverage the latest technology for payment processing and growth.”
The transaction is expected to close later this year, pending customary closing conditions.