BNY Mellon Buys PNC Fund Admin. Unit

Feb 2 2010 | 12:57pm ET

The Bank of New York Mellon has agreed to buy PNC Financial Services’ asset-management back-office business, which brings with it nearly $2 trillion in mutual and hedge fund assets under administration.

BNY Mellon will pay $2.31 billion in cash for PNC Global Investment Servicing. The unit provides custody, accounting, transfer agency and outsourcing to asset managers, with 75 million accounts and $1.8 trillion in assets.

The deal includes $1.57 billion in stock purchases and repayment of intercompany debt. BNY Mellon is to raise $800 million in equity, and the acquisition is expected to close in the third quarter.

PNC had been shopping the unit for about six months, under pressure to pay off some $7 billion in government bailout money.


In Depth

Q&A: George Schultze On His Fund's Unique Approach to Distressed Investing

Apr 16 2015 | 1:01am ET

George Schultze is a managing member of Schultze Asset Management, a long/short...

Lifestyle

Puerto Rico Woos The Rich But So Far Gains Little

Apr 17 2015 | 2:45am ET

Hedge fund manager Rob Rill grins. He has just had word that U.S. financial regulators...

Guest Contributor

Minnesota Supreme Court Rejects The Ponzi Scheme Presumption: Lenders Claw Back Some Of Their Own Rights

Apr 17 2015 | 9:23am ET

A recent court ruling in Minnesota has put an end to the Ponzi Scheme Presumption...

 

Editor's Note