Equitable Bank Sells Bennington Financial to Desjardins

Desjardins Group agrees to acquire the lease receivable portfolio from Equitable Bank.

Updated on Oct. 29, 2026 in Corporate Finance

Isometric editorial illustration featuring two distinct geometric building blocks in cool tones, representing a corporate asset transition. — Equitable Bank has agreed to sell its Bennington Financial subsidiary to the Desjardins Group, allowing the lender to focus on core growth. AI Illustration. Upload story photo >

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Equitable Bank has entered into an agreement to sell its subsidiary, Bennington Financial Corp., to the Desjardins Group. This strategic move allows Equitable Bank to focus its resources on core growth areas.

Why it matters

The divestiture enables Equitable Bank to reallocate capital toward its primary strategic priorities, while providing Bennington Financial with a new owner positioned to expand its operations.

Desjardins is acquiring the portfolio at a price equivalent to an 8% discount on lease receivables. As of July 31, 2026, Bennington Financial held $1.1 billion in these assets.

The players

Equitable Bank

A Toronto-based financial institution that recently expanded its reach through the acquisition of PC Financial.

Bennington Financial Corp.

A financial services firm previously held by Equitable Bank that specializes in lease receivables.

Desjardins Group

A major Canadian financial services cooperative that is acquiring the Bennington Financial portfolio.

The details

The transaction marks a significant portfolio shift for the Toronto-based bank following its earlier acquisition of PC Financial in 2026. Desjardins aims to integrate the specialized lease business into its existing financial services framework.

Bennington's lease receivable portfolio was valued at $1.1 billion on July 31, 2026.
Equitable Bank officially announced the sale agreement on October 29, 2026.

Market Dynamics

This deal aligns with the ongoing consolidation trend in the Canadian financial services sector, where banks are increasingly trimming specialized portfolios to focus on core retail growth. It positions Desjardins to capture greater market share in the commercial leasing space.

Existing clients of Bennington Financial may see shifts in service management as the firm transitions to new ownership under Desjardins. Retail investors in Equitable Bank should monitor how the realized capital from this sale impacts the bank's future balance sheet efficiency.

The takeaway

Divestitures allow large financial institutions to streamline their operations and concentrate capital on primary growth drivers. Customers associated with acquired units should prepare for potential changes in administrative processes as integration begins.