
The Charles Schwab Corporation announced on Nov. 25 that it entered an agreement to acquire TD Ameritrade. The all-stock transaction is valued at approximately $26 billion.
“We have long respected TD Ameritrade since our early days pioneering the discount brokerage industry, and as a fellow advocate for investors and independent investment advisors. Together, we share a passion for breaking down barriers for investors and advisors through a combination of low cost, great service and technology,” Schwab President and CEO Walt Bettinger says via press release.
According to the release, the acquisition will add approximately 12 million client accounts, $1.3 trillion in assets and approximately $5 billion in annual revenue to Schwab’s portfolio.
“With this transaction, we will capitalize on the unique opportunity to build a firm with the soul of a challenger and the resources of a large financial services institution that will be uniquely positioned to serve the investment, trading and wealth management needs of investors across every phase of their financial journeys,” Bettinger says via press release.
After the transaction undergoes customary closing conditions, the firms will be integrated and will relocate their headquarters to Schwab’s new campus in Westlake.
“Schwab’s announcement solidifies the notion that Westlake is, in fact, the financial hub of DFW and perhaps the entire country. We welcome them to our community and hope others look at Westlake as a place to do business in the future. We are incredibly thankful to be at the center of this seismic marriage between two financial giants”, Westlake Town Manager Amanda DeGan says via press release.
Schwab was founded in San Francisco and will still work out of that campus. For more information about the acquisition, TD Ameritrade has created an acquisition information center on its website.