A Southeastern banking giant is expanding its defined contribution retirement plan recordkeeping business.
Wachovia Corp., Charlotte, N.C., has agreed to buy a recordkeeping unit from Ameriprise Financial Inc., Minneapolis, for a price that was not disclosed.
Ameriprise predicts it will generate a “modest gain” on the sale.
The deal is subject to approval by federal antitrust regulators. Ameriprise and Wachovia hope to complete it by June 30, the companies say.
Ameriprise has been providing recordkeeping and plan administration services for 225 defined contribution plans with about 700,000 participants and $28 billion in assets.