Expected to be completed in the fall of 2013, the acquisition requires approval from banking regulators and is subject to other customary closing conditions.
Based in Vallejo, California, First Bank Association Bank Services has been providing specialized banking services for more than 30 years with more than $550m in deposits as of 31 March 2013.
Union Bank president and chief executive officer Masashi Oka said the acquisition adds to the firm’s strengths in serving the needs of the specialized management companies.
"It also provides a valuable source of long-term core deposits and builds on our acquisitions of Klik Technologies in 2011 and of Smartstreet in 2012," Oka added.
The law firm Bingham McCutchen advised Union Bank, while First Bank was advised by RBC Capital Markets, and the law firm Bryan Cave.
As a primary subsidiary of UnionBanCal Corporation, Union Bank is a full-service commercial bank, which operated 443 branches in California, Washington, Oregon, Texas, New York and Illinois, as well as two international offices, on March 31, 2013.
UnionBanCal is a wholly-owned subsidiary of The Bank of Tokyo-Mitsubishi UFJ, which is a subsidiary of Mitsubishi UFJ Financial Group.
