(Bloomberg) — Raymond James Financial Inc. agreed to buy Deutsche Bank AG’s U.S. private-client services unit, adding offices in the Northeast and mid-Atlantic region.
Haig Ariyan, co-head of wealth management in the Americas for Deutsche Asset & Wealth Management, will join St. Petersburg, Florida-based Raymond James along with other executives as part of the deal, according to a statement Thursday from the U.S. firm. The sale doesn’t include Frankfurt- based Deutsche Bank’s U.S. private bank, which handles some of its wealthiest clients.
Raymond James Chief Executive Officer Paul Reilly has been boosting the firm’s growth through acquisitions. This year, he agreed to buy the Canadian asset manager Cougar Global Investments Ltd. and the Producers Choice LLC, a private insurance and annuity marketing company. Raymond James expects to invest about 1.4 times revenue in the Deutsche Bank deal, and the total investment may be adjusted based on the company’s ability to retain advisers, it said in a web presentation.
“The agreement significantly accelerates our expansion,” Reilly said in a conference call about the deal, which is expected to be completed in the third quarter of 2016. “We’re very focused on growing in the Northeast and the West and the positioning in the Northeast and mid-Atlantic, some of the wealthiest markets of the country, really provide a strong foundation.”