CIBC Mellon Amalgamation; Solus Trust Continuance

Summary#

• CIBC Mellon Trust Company and CIBC Mellon Global Securities Services Company plan to apply to combine into a single federally regulated trust company under the name CIBC Mellon Trust Company, with an expected effective date of November 1, 2023.
• Solus Trust Company Limited filed to become a federally incorporated trust company and to be acquired by Raymond James Trust (Canada), with a further plan to amalgamate the two firms into one federal trust company; the applications were filed on November 16, 2022.

What it does#

• CIBC Mellon item:

  • The two CIBC Mellon entities intend to apply under the Trust and Loan Companies Act to amalgamate into one company named CIBC Mellon Trust Company.
  • The companies expect the amalgamation to take effect on November 1, 2023.
  • The combined head office would be in Toronto, Ontario.

• Solus / Raymond James item:

  • Solus Trust Company Limited applied to continue from a British Columbia corporation into a federally incorporated, non-deposit taking trust company under the Trust and Loan Companies Act.
  • Solus is currently incorporated under the Financial Institutions Act (British Columbia); the continuance would change its federal/provincial regulatory status.
  • It is intended that Solus will be acquired by Raymond James Trust (Canada) and then amalgamated with it into a single federally incorporated trust company. The amalgamated entity would initially be named Raymond James Trust (Canada) and later renamed Solus Trust Company.
  • The applications were filed on November 16, 2022, and written objections could be sent to the regulator by March 7, 2023.
  • The notices say publication does not guarantee the letters patent will be issued; the applications are subject to review.

Who's affected#

• Customers and clients of the named trust companies and their business partners.
• Employees and shareholders of the companies involved.
• For Solus, estate and trust clients in British Columbia (and clients across Canada after the planned amalgamation) are the most directly mentioned groups.
• Regulators and anyone who may want to object to the continuance or amalgamation (objections were to be filed with the Office of the Superintendent of Financial Institutions by March 7, 2023).
• If unclear: the notices do not list specific account-level changes, so it is not possible from the notice alone to say exactly how individual customers’ accounts or services will change.

Why it matters#

• These are corporate restructurings that can change who legally holds and runs trust and securities services. That can affect regulatory oversight, company names, and ownership.
• For Solus, the move from a British Columbia incorporation to a federal trust company may change which regulator oversees it.
• For clients and partners, mergers and acquisitions can lead to changes in contracts, reporting, or contact points — though the notices do not spell out any operational changes.
• Anyone with a stake or concern had a formal window to object (deadline March 7, 2023 for the Solus/Raymond James matter).