May 3 Canadian mortgage provider Equitable Group
Inc said on Wednesday it had added three more banks to
a syndicate that would fund its C$2 billion ($1.46 billion) loan
Subprime mortgage lenders in Canada have been racing to
shore up confidence in their model as depositors pulled more
money out of rival Home Capital Group Inc's
high-interest savings accounts.
Lenders have suffered since a securities regulator alleged
last month that alternative lender Home Capital hid mortgage
broker fraud from investors.
Equitable Group said on Wednesday that the syndicate of
lenders supporting its two-year loan commitment now also
includes Bank of Montreal, Royal Bank of Canada
and Bank of Nova Scotia.
Earlier this week, Equitable Group said it had received a
letter of commitment for the C$2 billion secured funding
facility from banks including Toronto-Dominion Bank,
Canadian Imperial Bank of Commerce and National Bank of
Equitable Group's shares were up 1.2 percent at C$46.62 in
(Reporting by Arathy S Nair in Bengaluru; Editing by Shounak