* Drops plan to issue up to C$400 million in equity
* Sees deal closing on July 5 (Follows alerts)
June 21 (Reuters - Bank of Montreal got all key bank regulatory approvals for its $4.1 billion acquisition of Marshall & Ilsley Corp and said it will not proceed with an equity offering to fund the transaction.
“Given BMO’s strong capital position...it will not be necessary to proceed with a common share offering related to this transaction -- previously disclosed to be less than $400 million,” Chief Executive Bill Downe said in a statement.
Earlier in the day, the U.S. Federal Reserve had approved the application of Bank of Montreal to buy Marshall & Ilsley Corp.
Canada’s No. 4 bank sees the deal closing on July 5.
Bank of Montreal had said in December it would buy Wisconsin lender Marshall & Ilsley in an all-stock deal, doubling its U.S. retail banking presence to around 700 branches. It aims to more than quintuple the annual earnings from it U.S. operations over the next three to five years.
Shares of the Toronto-based bank closed down 22 Canadian cents at C$61.10 on Tuesday afternoon on the Toronto Stock Exchange. (Reporting by Arnika Thakur in Bangalore; Editing by Don Sebastian)