New York: Financial services major Bank of
America will sell First Republic Bank to a group of investors
for an undisclosed amount.
First Republic Bank became part of the entity following
BofA's acquisition of Merrill Lynch for about USD 1.8 billion
earlier this year.
BofA would be selling First Republic to a number of
investors, led by that company's existing management, and
including investment funds managed by Colony Capital, LLC and
General Atlantic LLC.
The transaction is expected to be completed in the second
quarter of 2010, the banking major said in a statement on
Wednesday.
First Republic's Chairman and founding CEO Jim Herbert
along with President and COO Katherine August-deWilde, would
continue in their current positions along with the rest of the
management team.
As on September 30, First Republic had USD 19 billion in
total assets, USD 16 billion in deposits, and USD 15 billion
in wealth management assets under management.
BofA has been severely hit by the financial meltdown and
had received billions of dollars from the US government to
battle the crisis.
Bureau Report
First Published: Friday, October 23, 2009, 00:09