Butterfield Bank (Guernsey) Limited has agreed to acquire ABN AMRO (Channel Islands) Limited for approximately £161 million in cash.
Butterfield is headquartered in Bermuda with significant operations in the Cayman Islands and Channel Islands. ABN AMRO Channel Islands has been established in Guernsey for more than 35 years and offers banking, investment management and custody products.
The transaction will combine two leading banking operations in the Channel Islands to create an organisation with a widened and diversified offering, as well as the ability to service a broader array of clients around the globe. With the acquisition of ABN AMRO Channel Islands, Butterfield will significantly expand its presence in Guernsey and Jersey.
For ABN AMRO Channel Islands, the transaction will bring the benefits of a more extensive loan product offering, as well as the opportunity to extend its service offering to the private equity and insurance industries.
Michael Collins, Butterfield’s Chairman and Chief Executive Officer, said: “In ABN AMRO Channel Islands, we have found an ideal partner through which to expand our core Channel Islands banking business. This acquisition is another important step in our strategy to grow through acquisitions in the highest quality offshore markets where we have scale and expertise. It underscores our continuing commitment to expand Butterfield’s presence in the Channel Islands and the importance of these two jurisdictions to our multinational clients. ABN AMRO Channel Islands brings a conservative risk management culture, similar to that of Butterfield, and will contribute both management talent and sales expertise to our combined business.
“This represents an excellent opportunity for clients and employees, and we look forward to welcoming our new colleagues to Butterfield. Together, we bring long histories of client service at the highest level.”
The transaction is anticipated to close during the third quarter of this year, subject to regulatory and other customary closing conditions. ABN AMRO Channel Islands business and employees will then be integrated with the existing Butterfield Guernsey operations and operate under the Butterfield name.
