TUPELO — Renasant Corporation’s wholly owned subsidiary, Renasant Bank, has entered into a definitive agreement to acquire the Birmingham, Ala.-based trust department of RBC Bank (USA), which services clients in Alabama and Georgia.
The acquisition by Renasant will not affect the separate trust operations of RBC Wealth Management in the U.S. or RBC Trust Company (Delaware) Limited.
Under the terms of the transaction, prior to the closing RBC Bank will transfer its $680 million in assets under management, comprised of personal and institutional clients with over 200 trust, custodial and escrow accounts, to a wholly owned subsidiary, and Renasant will acquire all of the ownership interests in the subsidiary.
The completion of the acquisition is subject to the receipt of regulatory approval and the satisfaction of certain other conditions.
When finalized, Renasant expects its wealth management and trust assets under management and advisement to total approximately $1.5 billion.
Renasant chairman and CEO E. Robinson McGraw. “We believe our strong capital position and liquidity have us well positioned to capitalize on banking and financial services opportunities throughout desirable markets in the Southeast. As part of this growth initiative, we look to continue to expand our client base, franchise and delivery of financial services in Alabama where our current footprint consists of multiple locations in Birmingham, Huntsville, Decatur and Madison.”
The transition from RBC Bank Trust to Renasant for client accounts and personnel is expected to be completed on or before Aug. 31.
The addition of RBC Bank’s Trust division to Renasant will be its sixth expansion over the past 12 months. In February 2011, Renasant acquired the former American Trust Bank in Roswell, Ga., $145 million in assets from the FDIC as the receiver of American Trust. The acquisition added three branches in North Georgia and expanded Renasant’s network to 14 full-service locations in this market.
During the first quarter of 2011, Renasant completed the conversion of Crescent Bank & Trust of Jasper, Ga, $1.0 billion in assets, which was acquired in an FDIC-assisted transaction during the third quarter of 2010.
In addition, Renasant has opened three new full service locations during the last 12 months.