Source: Northern Trust
Northern Trust (Nasdaq:NTRS) announced today that it reached an agreement to acquire the fund administration, investment operations outsourcing and custody business of the Bank of Ireland Group, Bank of Ireland Securities Services (BOISS). Northern Trust will pay up to €60 million (approximately US$82 million) to acquire the business.
The acquisition, which is subject to applicable regulatory approvals and other customary closing conditions, is anticipated to close in the second quarter of 2011. It is anticipated that on completion of the transaction, Northern Trust's combined assets under custody and administration in Ireland will increase by approximately €70 billion (approximately US$96 billion).
"Ireland is one of the largest European domiciles for cross-border fund administration," Northern Trust Chairman and Chief Executive Officer Frederick H. Waddell said. "We look forward to combining this business with our existing activities in Ireland and continuing to provide the exceptional client service and solutions for which Northern Trust and Bank of Ireland Securities Services are both known."
Bank of Ireland Securities Services is the largest Irish-owned asset administration provider and is based in Dublin. The business provides specialised, client-driven services to a broad range of funds, including mutual money-market, multi-manager, exchange-traded funds, and property funds, serving both the on-shore and off-shore markets.
"This acquisition will enhance and expand Northern Trust's Global Fund Service capabilities, particularly in the key areas of fund administration and the support of ETFs," said Steven Fradkin, President of Corporate and Institutional Services at Northern Trust. "We look forward to working with our new clients and drawing upon the intellectual capital and depth of leadership talent that Bank of Ireland Securities Services will bring to our already successful operations in Ireland."
Northern Trust has been providing custody and fund administration services to clients from its Dublin office since 2000 and opened its Limerick operations in 2006.