First Horizon Corp (NYSE:FHN) stock rose 0.59% (As on July 20, 11:20:39 AM UTC-4, Source: Google Finance) after the company posted mixed result for the second quarter of FY 22. FHN reported second quarter net income available to common shareholders (“NIAC”) of $166 million compared with first quarter 2022 NIAC of $187 million. Second quarter 2022 results were reduced by a net $29 million after-tax, or $0.05 per share, of notable items compared with a net $24 million, or $0.04 per share, in first quarter 2022. Excluding notable items, adjusted second quarter 2022 NIAC of $195 million, decreased from $211 million, in first quarter 2022. Results reflect a $0.10 per share reduction tied to provision for credit losses as well as the impact of suspension of share repurchases and a 17.7 million increase in diluted shares following the first quarter 2022 preferred issuance related to the proposed TD transaction. The high-growth markets and specialty lending businesses delivered loan growth of four percent, before the impact of paycheck protection program and mortgage warehouse loans.

FHN in the second quarter of FY 22 has reported the adjusted earnings per share of 34 cents, missing the analysts’ estimates for the adjusted earnings per share of 35 cents. The company had reported the adjusted revenue of $743 million in the second quarter of FY 22, beating the analysts’ estimates for revenue of $729.1 million.

Additionally, the company had declared a quarterly common stock dividend of $0.15 per share. The dividend was paid on July 1, 2022 to shareholders of record at the close of business on June 10, 2022.

On the other hand, the company has received shareholder approval for The Toronto-Dominion Bank (“TD”) to acquire First Horizon. The transaction is expected to close in the first quarter of TD’s 2023 fiscal year subject to U.S. and Canadian regulatory approvals and the completion of other necessary closing conditions. After the completion of the transaction, the combined organization is expected to have immediate scale benefits and be well positioned to create extraordinary value with a shared customer-centric strategy and broader client capabilities. In addition, TD Bank Group and First Horizon Corporation had earlier announced that they have signed a definitive agreement for TD to acquire First Horizon in an all-cash transaction valued at US$13.4 billion, or US$25.00 for each common share of First Horizon. Through this financially compelling transaction, TD accelerates its long-term growth strategy in the United States by acquiring a premier regional bank with an aligned culture and risk-management framework.