TCF National Bank in Detroit, through a division called TCF Capital Solution, today announced the acquisition of BB&T Commercial Equipment Capital Corp. The agreement includes a portfolio of approximately $1 billion of finance leases and equipment loans.
Prior to the transaction, BB&T Commercial (CEC) was Truist Bank’s nationwide budget equipment leasing and financing business. Approximately 60 Truist/CEC employees joined the TCF team as a result of the agreement. Further details of the transaction were not disclosed.
“CEC’s business model is highly complementary and consistent with TCF Capital Solutions’ business model, which we believe will create significant additional growth opportunities for our entire bank,” said Bill Henak, Vice President Senior Executive of TCF Specialty Finance.
Founded in 1998, BB&T Commercial is a dedicated team of equipment finance professionals serving more than 24,000 customer accounts each year.
“The low-cost equipment finance business is changing rapidly and TCF, with its long history in the industry, is well placed to provide expertise and scale to benefit CEC customers and CEC teammates who join the company,” said Mike Maguire, senior executive. Vice President at Truist.
In connection with the transaction, Faegre Drinker Biddle & Reath served as legal counsel to TCF, and Davis Polk & Wardwell served as legal counsel to Truist. Truist Securities served as financial advisor to Truist.
TCF Financial Corp., a financial holding company with total assets of $48 billion as of December 31, 2020, has TCF National Bank as its main banking subsidiary. The latter entity offers personal and commercial banking, trust and wealth management services, as well as specialized leasing and lending products and services to consumers, small businesses and commercial customers.
TCF has approximately 470 branches primarily located in Michigan, Illinois, and Minnesota, with additional locations in Colorado, Ohio, South Dakota, and Wisconsin. TCF also has operations in all 50 states and Canada through its specialty lending and leasing businesses.
In mid-December, TCF Financial Corp. announced that it had signed a definitive agreement under which it would merge in an all-stock merger with a total market value of approximately $22 billion with Huntington Bancshares Inc. of Columbus, Ohio, the parent company of The Huntington National Bank. The terms of the contract are not disclosed.
The merger, which is expected to be completed in the second quarter, will create one of the top 10 US regional banks with two headquarters in Detroit and Columbus. It was unanimously approved by the boards of directors of both companies. TCF will merge with Huntington, and the combined holding company and bank will operate under the Huntington name and brand following the closing of the transaction.
Upon closing, Stephen D. Steinour of Huntington will remain Chairman of the Board, President and Chief Executive Officer of the Holding Company and Chief Executive Officer and President of the Bank. Gary Torgow, executive chairman of TCF, will serve as chairman of the combined bank’s board.
Once the merger is complete, the commercial bank’s headquarters will be in downtown Detroit, where TCF has built a new headquarters. At least 800 employees of the combined company, nearly three times the number planned by TCF, will be housed at the new site. Columbus will remain the headquarters of the holding company and the consumer bank.
To learn more about TCF, visit tcfbank.com.
