Alaska Trust Company (ATC) is acquiring the trust division of Alaska USA Trust Company (AUTC), a subsidiary of the $5.5 billion Alaska USA Federal Credit Union.
ATC will acquire all the outstanding stock of AUTC. The transaction is subject to the negotiation of a definitive stock purchase agreement, as well as approval from the Alaska Division of Banking and Securities and the respective boards of directors. They expect to complete the deal by the end of July.
ATC is an independent trust company offering administration and wealth management services on a nation-wide basis.
The company administers more than $5 billion of assets and has been operating in Anchorage for more than 17 years. In AUTC, it is buying a provider of investment custody and securities lending services to institutional investors.
Glenn Cipriano, president of AUTC, commented “The combined resources of these two experienced Alaska-based trust companies, with similar commitments to local service and value, will provide even greater benefits to individual clients in the future. The commitment to individual trust clients and excellent service are values both companies share.”
Douglas Blattmachr, president of ATC, added: “It is comforting to know that the transaction will bring expanded expertise, investment management and trust administration options to clients of both companies as well as operational economies of scale. It will also result in trust-related job opportunities in the local area.”
Alaska USA Federal Credit Union is setting up a new subsidiary, CU Trust Company, so that it can continue provide institutional trust services to its clients.
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