UMB Bank, Kansas City, Mo., reached an agreement to acquire the corporate trust businesses of Commerce Trust Company, a division of Commerce Bank.
With $52.9 billion in assets, Commerce Trust Company is the 19th largest bank-owned trust company in the United States.
The acquisition will make UMB the leading player in Missouri’s corporate trust market, and acquiring the Kansas City-based Commerce Bank expands the leading bank’s corporate trust portfolio.
The merger will complement UMB’s growth efforts. The $23 billion company has recently expanded its national escrow, default, aviation and asset-backed securities lines.
“This most recent acquisition is another way we are intentionally growing the business,” said Jim Cornelius, president of UMB Institutional Banking.
The transaction makes sense for all parties, said John Handy, president and CEO of the Commerce Trust Company. “Selling the bond administration portion of our business is a strategic decision that allows us to focus resources on the core areas of our company’s growth.”
“We are committed to providing the very best wealth, investment management and financial planning services to our individual and institutional clients,” Handy said.
As part of the acquisition, Bill Ekey and his team of corporate trust associates will join UMB from Commerce. He will continue managing existing relationships and foster new ones. “This seasoned team is an exciting addition to our corporate trust business,” Cornelius said.
The acquisition will solidify UMB’s position as the largest provider of trustee and paying agent services in Missouri.