Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:PNC and BNY Mellon Seal the Deal Not Rated 4.0 Email Routing List Email & Route  Print Print
Tuesday, February 2, 2010

PNC and BNY Mellon Seal the Deal

Reported by InvestmentWires Staff, 

Bank of New York Mellon is purchasing PNC Global Investment Servicing (formerly known as PFPC) for $2.31 billion in an all-cash transaction. The deal, unveiled Tuesday morning, is expected to close in the third quarter. The purchase price works out to about 2.85 times PNC Global Investment Servicing's 2009 revenue of $810 million.

Tim Keaney
BNY Mellon
Head of Asset Servicing
The MFWire first reported two weeks ago that PNC GIS was on the block and that BNY Mellon was one of the bidders.

With the purchase, BNY Mellon becomes the No. 2 provider in fund accounting, administration and transfer agency. It adds $855 billion in assets under administration, including $460 billion in assets under custody, and doubles the number of funds serviced for accounting and administration.

Citigroup Global Markets Inc. and Morgan Stanley & Co. Incorporated acted as PNC's financial advisers and Wachtell, Lipton, Rosen & Katz acted as legal adviser. Goldman Sachs was BNY Mellon's investment banker and Reed Smith was the legal adviser.

The price tag includes the purchase of $1.57 billion of stock and repayment of intercompany debt from PNC. BNY Mellon plans to raise approximately $800 million in equity as part of the transaction.

Jim Palermo
BNY Mellon
Head of Asset Servicing
Stephen Wynne, CEO of PNC GIS, will remain in that role. He will report to Tim Keaney and Jim Palermo, co-heads of BNY Mellon Asset Servicing. Based in Wilmington, Delaware, PNC GIS has about 4,500 employees.

"The business will continue to be run out of Wilmington," a BNY Mellon spokesperson told The MFWire. "There are no immediate plans to relocate the business."

As for branding, "a decision on branding will be communicated after the close."

"The sale of PNC Global Investment Servicing is consistent with our focus on disciplined capital management," said PNC Financial chairman and CEO James E. Rohr in a news release. "Given the changing competitive landscape in the investment servicing industry, we believe this is the proper time to sell the business to capture the full value of PNC Global Investment Servicing. The capital generated from this transaction will position PNC with further flexibility."  

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

4.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2025: Q3Q2Q1
2024: Q4Q3Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly


    Sorry, no records in the database matched your search parameters. Clich back and try again.



  1. Nicsa webinar - New research by Alex Edmans and the Diversity Project - The Power of diverse thinking: How the best teams make decisions, July 1
  2. MFDF Director Discussion Series - Open Forum, July 9
  3. MFDF webinar - Mid-Year Tax Update for Registered Investment Companies, July 10
  4. MFDF Director Discussion Series - Open Forum (Philadelphia), July 15
  5. 2025 MMI Women in Advisory Solutions Forum, Jul 15-16
  6. Nicsa webinar - How Trusted GenAI is Transforming Data Access in Asset Management, July 16
  7. MFDF webinar - M&A and Consolidation in Asset Management, July 16
  8. MFDF webinar - ETF Conversions, July 17
  9. MFDF Director Discussion Series - Open Forum (New York), July 22
  10. MFDF Ask Anything webinar - AI Edition, July 24
  11. MFDF webinar - Use of Derivatives by RICs, July 29
  12. MFDF Director Discussion Series - Open Forum (Columbus, Ohio), August 20
  13. Samfund Soiree Boston 2025, August 21
  14. MFDF webinar - The Audit Committee Chair's Guide to Balancing Duties and Emerging Issues, September 3
  15. ICI ETF Conference, Sep 8-10
  16. Nicsa webinar - Reimagining Reconciliation: AI, Regulation, and Capital Markets Transformation, September 10
  17. MFDF webinar - Series Trust Funds - Compliance and Board Reporting, September 10
  18. MFDF In Focus - Board Oversight of DEI in Current Landscape, September 11
  19. MFDF webinar - MFDF 15(c) White Paper Webinar Series: Part 4 – Enforcement Action Takeaways, September 16
  20. MFDF webinar - Latest in Closed-End Funds Litigations, September 23
  21. MFDF webinar - Fixed Income Insights: Navigating Market Trends & Opportunities, September 24
  22. MFDF webinar - Risk Management Essentials for RICs and Boards, September 29
  23. MFDF webinar - Diligent - Tools for Fund Board Book, October 1
  24. 10th annual Fuse Forum, October 8
  25. MFDF webinar - Essential Strategies in Board Oversight of Operational Risk Management, October 14
  26. 2025 MMI Annual Conference, Oct 15-17




©All rights reserved to InvestmentWires, Inc. 1997-2025
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use