Canadian Imperial Bank of Commerce (CIBC) has acquired CIT Canada's interest in CIT Business Credit Canada (CIT Business Credit) to own 100% of this company, which has been re-named CIBC Asset-Based Lending. Financial terms of the transaction were not disclosed.

CIT Business Credit was established in the year 2000 as a joint venture between CIBC and CIT Canada, a wholly-owned subsidiary of CIT Group. CIT Business Credit combined CIBC’s full range of commercial banking solutions with CIT’s asset-based lending capability customized for the Canadian marketplace.

Sonia Baxendale, president of retail markets at CIBC, said: “This transaction is consistent with CIBC’s priority to grow our business banking operations in Canada. We are acquiring full control of an organization we know well following our long relationship with CIT. We are very familiar with the clients, the assets and the quality of the portfolio.

“Asset-based lending is an expanding part of commercial lending in Canada as companies seek alternatives to traditional types of financing and we intend to devote the necessary resources to ensure CIBC Asset-Based Lending, continues to grow and be successful. Through this transaction, CIBC will be in a stronger position to offer a broader suite of financing options for our existing and prospective clients.”