08:03 AM EST, 02/10/2025 (MT Newswires) -- Toronto-Dominion Bank ( MLWIQXX ) said Monday that it plans to sell its entire equity stake in Charles Schwab ( SCHW ) using a registered offering and share repurchase by Charles Schwab ( SCHW ).

Toronto-Dominion said it owns 184.7 million shares of Schwab common stock or a 10.1% economic ownership. Charles Schwab ( SCHW ) has agreed to buy back $1.5 billion of its shares from TD on the condition that the offering is completed, according to Toronto-Dominion.

As part of the agreement, Charles Schwab ( SCHW ) said Monday that it is launching a secondary offering of its common stock through which Toronto-Dominion affiliate TD Group US expects to exit its full investment in Charles Schwab ( SCHW ). Charles Schwab ( SCHW ) also said the shares offered by TD will be sold in an underwritten public offering.

Pending the closing of the divestment and regulatory approval, TD said it plans to launch a normal course issuer bid to acquire for cancellation up to 100 million of its common stock, or approximately 5.7% of its issued and outstanding common shares, and its Oct. 31 public float.

Shares of Charles Schwab ( SCHW ) were down 3% in recent premarket activity.