Laurentian Bank has completed its review of strategic options without having entered into a sales agreement.
The Montreal bank has decided that the best way to create value for shareholders is to accelerate the evolution of its current strategic plan with an emphasis on efficiency and simplification.
A strategic review is often seen by investors as a prelude to selling a business. However, Laurentian said it would work to simplify its organizational structure and focus on allocating capital and resources to its most profitable businesses and specialty products.
“Having completed the review of our strategic options, we have more confidence than ever in the strong positioning of Laurentian Bank in the market and the unique offering it offers to its clients,” declared Rania Llewellyn, President and Chief Executive Officer. from the management of the Laurentian Bank, in a press release.
“As we continue to evolve our Bank, the management team and all employees will rely on our proven ability to implement our plan and produce concrete results for our clients, our shareholders and our various stakeholders . »
Laurentian announced its strategic review in July, leading to speculation about the possibility of an acquisition of the bank.
The bank said Thursday that it had considered various options, including acquiring the entire bank, selling certain businesses, as well as accelerating its current strategic plan.
As part of its action plan, the bank indicated that Éric Provost, currently head of business services, will assume management of personal banking services as group head of personal and business banking services. .
Sébastien Bélair will also become head of administrative services at the bank, assuming responsibility for the bank’s operations in addition to his current role as head of human resources.
Laurentian said it will share more information when it releases its fourth-quarter results on Dec. 7 and will unveil a renewed strategic plan at an investor day in early 2024.
The bank has been working on a three-year strategic plan that it launched in late 2021 to modernize its operations, including with the rollout of its first mobile banking app.