The BMO Financial Group announced on Friday the acquisition of the Air Miles rewards program from LoyaltyOne.
 

Sean Stewart, CEO of Air Miles, described the deal as an important step forward in securing the future of the Air Miles program. Stewart said in a statement: "The BMO agreement to purchase Air Miles business has no impact on Air Miles reward miles balances or on the ability of miles collectors to collect and redeem Air Miles."

Loyalty Ventures Inc., the parent company of LoyaltyOne, filed for Chapter 11 bankruptcy in the United States on Friday.

The BMO deal for Air Miles was also proposed as part of LoyaltyOne's proceedings under Canada's Companies' Creditors Arrangement Act.

This acquisition process will include a sale and investment solicitation to obtain any interest in Air Miles business and will require court approval.

BMO said the acquisition will accelerate future growth for Air Miles.

BMO's Head of Personal and Commercial Banking in North America, Ernie Johannson, said: "If our acquisition of Air Miles business succeeds, we will bring the ownership of Air Miles back to Canada and enhance its offerings to Canadian consumers and businesses alongside leading Canadian and global program partners and merchants online."

He explained that Air Miles has nearly 10 million active collector accounts.