Canadian law firms Torys and Stikeman Elliott, along with international firm Willkie Farr & Gallagher, are advising on the multibillion-dollar merger of Fairstone Bank of Canada and Home Trust Co.—a deal the parties say will create the leading alternative lender in Canada.

The merger, which requires final regulatory approval, is worth between CA$5 billion to $6 billion, according to the Globe and Mail. The merged bank will service more than 2 million customers with more than 250 branches across Canada.

Following the closing of the transaction, Smith Financial Corp., a family enterprise founded by billionaire Stephen Smith, will own a majority interest in the combined entity. Fairstone Bank's current shareholders, Centerbridge Partners LP and Ontario Teachers' Pension Plan Board and management, will continue as minority shareholders in the combined entity.