TD Bank Financial Group announced Friday that it is buying 57 branches from Laurentian Bank in Ontario and Western Canada.

The transaction is expected to close on October 31, subject to regulatory approval.

The agreement includes a loan portfolio valued at approximately $2 billion and a deposit portfolio valued at approximately $1.9 billion. The all-cash purchase price reflects the book value of assets sold, less liabilities assumed plus a premium of $112.5 million.

“In keeping with our move towards a greater emphasis on retail earnings, the acquisition of the 57 Laurentian Bank branches represents a significant opportunity for TD Canada Trust to grow its franchise and enhance its market presence in Ontario and Western Canada,” said TD Canada Trust president, Andrea Rosen. “We look forward to welcoming Laurentian Bank’s customers and employees as part of the expanded TD Canada Trust retail operations.”

Laurentian CEO, Raymond McManus, explained his bank’s decision, saying “Laurentian Bank intends to focus its energy and resources in the fields in which it excels and the markets in which it enjoys real competitive advantages. This transaction will enable us to increase our investment in these markets and take advantage of business opportunities that may arise in view of the current situation in the financial products and services industry.”

TD and Laurentian Bank say that they are committed to working together to ensure a smooth transition for employees and customers. From now until the expected closing, both banks said it will be business as usual and no additional action or changes to existing interactions will be required by either customers or employees.