The Bank of New York Mellon Corporation has reached an agreement to sell Mellon United National Bank of Miami to Banco Sabadell of Spain for up to or up to USD142 million.
According to a statement from BNY Mellon: “The sale reflects The Bank of New York Mellon’s strategy of focusing on the expansion of its wealth management and private banking businesses in Florida.”
Sabadell will take over all of Mellon United National Bank’s deposits, some USD1.6 billion, and USD900 million in loans.
The transaction, terms of which have not been announced, is subject to regulatory approvals and is expected to close by the first quarter of 2010.
“This transaction will sharpen our long-term effort to bring excellent wealth management, investment management and private banking solutions to high net worth individuals and families throughout the Florida market,” said David F. Lamere, chief executive officer of BNY Mellon Wealth Management. “Until this transaction closes, we will continue to provide excellent customer service to MUNB’s clients and work with the buyers to ensure a smooth transition. “
Following the sale, the 335 current employees of Mellon United National Bank will transition to the new owner.
“We believe Banco Sabadell is a very good fit for Mellon United National Bank, which will benefit from the investments and opportunities that this growing business bank will bring,” Lamere added.
In the past two years, BNY Mellon Wealth Management has increased staffing and widened the reach of its wealth management and private banking businesses throughout Florida. Most recently BNY Mellon Wealth Management opened a new regional office in Tampa, its seventh in the state, from which it provides wealth management and private banking services. In coming months, the firm plans to further increase its Florida wealth management and private banking presence and add to its professional team of salespeople and portfolio managers as well.
“We’ve enjoyed excellent growth in Florida and throughout the southeastern U.S.,” said Craig Sutherland, who is based in Miami as president of the Southeast region of BNY Mellon Wealth Management. “We consider this region key to our growth strategy and we will continue to expand our presence in Florida.”
Following this transaction, The Bank of New York Mellon will continue to employ nearly 1,250 people in Florida. In addition to Wealth Management, other BNY Mellon businesses with a presence in Florida include Corporate Trust and Asset Management.
Acting as exclusive financial advisor to The Bank of New York Mellon in this transaction was Credit Suisse (USA) LLC.
Bank of New York bought Mellon in 2007. In 2008, the company sold Mellon 1st Business Bank of California to U.S. Bancorp.