Toronto-Dominion Bank acquiring Memphis-based First Horizon

Toronto-Dominion Bank is acquiring Memphis-based First Horizon in an all-cash transaction worth $13.4 billion.

The Canadian banking and financial services company is paying $25 a share, a 37% premium on FHN’s last close. Shares of First Horizon were up nearly 32% in early trading.

“We have built a very strong business at First Horizon, and by joining forces with TD, we will create extraordinary value for our key stakeholders with a shared customer-centric strategy, enhanced scale and a broader product set for our clients,” said FHN president and CEO Bryan Jordan.

Jordan will join TD as vice chair, TD Bank Group, and report to Bharat Masrani, TD group president and CEO.