* Transition expected to be completed by Aug 31. (Follows alerts)
June 29 (Reuters) - Renasant Corp said its banking subsidiary will buy an asset management department from Royal Bank of Canada’s U.S. unit, nearly doubling the amount of assets it manages to $1.5 billion.
Renasant will buy RBC USA’s Birmingham, Alabama-based trust department, which services clients in Alabama and Georgia, and will add about $680 million in assets under management.
The bank did not disclose additional details of the transaction.
The transition from RBC Bank Trust to Renasant for client accounts and personnel is expected to be completed on or before August 31, 2011.
This transaction marks RBC’s sale in the United States this month, after it sold its U.S. retail bank and credit card units to PNC Financial Services Group for $3.62 billion.
The sale of the trust department to Renasant will not affect the separate trust operations of RBC Wealth Management in the United States or RBC Trust Company, Renasant said in a statement.
Shares of Tupelo, Mississippi-based Renasant closed at $14.45 on Wednesday on Nasdaq. (Reporting by Jochelle Mendonca in Bangalore; Editing by Joyjeet Das)