The Royal Bank of Canada (RBC) intends to make the largest domestic banking deal on record and buy HSBC Bank Canada for $13.5-billion.

The deal will see RBC take over about $134 billion in HSBC assets including a significant mortgage book.

The acquisition is at a scale not seen in Canada in decades.

The last time Canada’s banking industry saw a deal of this scale was TD Bank Group’s acquisition of Canada Trust in 1999 for about $8 billion, which is the equivalent of about $13.1 billion adjusted for inflation.

RBC is the country’s largest bank and looks to establish itself as the hub for a more globalized clientele. That includes the commercial side as well as wealthy clients and newcomers.

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“It’s a unique, once in a generation opportunity to leverage all the investments we’ve already made in building a world-class retail and commercial bank,” Chief Executive Dave McKay said on an analyst call.

RBC is reporting a hefty fourth-quarter profit similar to a year ago.

RBC recently announced it earned 3.88-billion dollars in a three-month period that ended October 31st, which is 10-million dollars less than the same quarter last year .

RBC this morning says it will raise its dividend by four cents and will now pay a quarterly dividend of $1.32 per share. Revenue rose to 12.57-billion dollars in the quarter.

The deal will require approval from the Office of the Superintendent of Financial Institutions, the Competition Bureau, and the Ministry of Finance, but McKay said that as long as HSBC Canada has a market share of two per cent or less, he doesn’t see areas of concern.

“This is still a relatively small bank by market share,” McKay said.

RBC expects the deal to close by late 2023 subject to closing conditions and regulatory approval.