MEMPHIS, Tenn. — On May 4, TD Bank Group, based in Toronto, and First Horizon Corporation announced that they have entered into a mutual agreement to terminate their previously announced merger agreement, originally announced in early 2022. First Horizon completed a takeover of Louisiana-based IberiaBank in July 2020.
TD informed First Horizon that TD does not have a timetable for regulatory approvals to be obtained for reasons unrelated to First Horizon, according to a First Horizon spokesperson. “Because there is uncertainty as to when and if these regulatory approvals can be obtained, the parties mutually agreed to terminate the merger agreement,” said the spokesperson.
Under the terms of the termination agreement, TD will make a $200 million cash payment to First Horizon.
On May 9, First Horizon Corp. announced that it is committing to invest $50 million of that payment to its communities through the First Horizon Foundation.
“Without hesitation, our executive leadership team and board of directors made this important decision,” said D. Bryan Jordan, chairman, president and CEO of First Horizon. “Our commitment to continuously care for our communities — through all economic cycles — has always been part of our strategy and embedded in our core values.”
“First Horizon has been a reliable, trusted partner for NCRC and many of our nonprofit members for years,” said Jesse Van Tol, president and CEO of the National Community Reinvestment Coalition. “We are thrilled that our communities will continue to benefit from the leadership role First Horizon plays in supporting underserved communities which, in turn, helps to create and sustain vibrant communities.
Since the First Horizon Foundation was established in 1993, it has invested more than $150 million in the communities it serves. In 2022, the First Horizon Foundation invested nearly $18 million across its 12-state southeastern regional footprint in addition to the $5 million spent in Louisiana by the Louisiana First Horizon Foundation.
The funds will be dispersed through First Horizon Foundation’s normal grant cycle process. Applications can be made at www.firsthorizonfoundation.com.
