American financial giant Charles Schwab has announced the purchase of its Bitcoin-friendly competitor, broker TD Ameritrade, according to a press release.
The absorption will take place through the exchange of shares, the transaction amount is $26 billion. The premium to shares of TD Ameritrade will be 17% of the weighted average price of its securities for 30 days to November 20.
Representatives of Charles Schwab said that the combined structure will manage assets of $5 trillion, serving 24 million customer accounts. In particular, TD Ameritrade accounts for $1.3 billion of customer funds, with Charles Schwab's revenue of about $5 billion.
Information on negotiations between brokers appeared on Friday, November 22. On Monday, November 25th, the companies announced that their boards of directors had approved the deal, clarifying additional details. The integration of Charles Schwab and TD Ameritrade is expected to take between 18 and 36 months.
Following the announcement of the transaction, TD Ameritrade shares rose 2.4% in over-the-counter trading before the start of the main session in the US, and Charles Schwab securities grew 1%.
TD Ameritrade provides access to bitcoin futures on the regulated CME exchange.