Bank of America to acquire US Trust

The second largest bank in the United States, Bank of America Corp. has said that they are acquiring U.S. Trust Corp.

U.S. Trust Corp. is the private banking unit of Charles Schwab Corp. and the deal would cost them around $3.3 billion.

It would enable them to offer additional services like managing money for wealthy people.

This deal would also create the largest U.S. private banking business. The combined entity would have $261 billion of assets under management.

Bank of America Chief Executive Kenneth Lewis added that this deal would enhance their credibility in this market in addition to adding scale to their operations.

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