Mississaugas of the Credit invest $15M in First Nations Bank

TORONTO — Mississaugas of the Credit First Nation has invested $15 million in First Nations Bank of Canada, giving the Nation about a 10 per cent ownership stake and making it one of the Indigenous-owned bank’s largest shareholders, the bank announced Wednesday.

Bill Lomax, the bank’s president and CEO, made the announcement at the Canadian Club Toronto on Nov. 4, The Canadian Press reported. The bank said the investment completes a $50-million capital raise.

The bank describes itself as the only Indigenous-owned chartered bank in Canada. It said the money will expand its lending capacity and help it pursue opportunities in Indigenous business, infrastructure and economic development.

After the investment, the bank said it will be owned by 117 First Nations and Indigenous communities. It operates 22 branches and service centres and manages more than $1.6 billion in assets. Its trust subsidiary, FNB Trust, has $5.57 billion in assets under administration. The bank offers commercial and personal banking, including loans, mortgages and investments, to Indigenous and non-Indigenous clients.

“With the addition of Mississaugas of the Credit First Nation as a major shareholder, that founding vision is stronger than ever,” Lomax said in a news release. “Today, we are building a growing national bank, supported by First Nations and Indigenous shareholders from across the country, and well positioned to pursue the significant opportunities ahead.”

Chief Margaret Sault of Mississaugas of the Credit First Nation said in the same release that the investment is aimed at community wealth. “By becoming a major shareholder in First Nations Bank of Canada, we are investing in an opportunity to build long-term wealth for our community with a partner who understands our needs and aspirations,” Sault said.

“Meaningful participation in the Canadian economy includes having ownership in the institutions that help drive and shape its future,” she said.

The announcement comes as Nations weigh how to take an ownership role in major projects. Canada News Media has reported on B.C. First Nations challenging the Pacific Link pipeline listing and on the growth of Indigenous businesses across the country.

The terms of the investment beyond the amount and stake were not detailed in the report, and the bank’s release was not independently reviewed by Canada News Media. This story is based on reporting by The Canadian Press, published by BNN Bloomberg.

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