Bank of America (BAC), which has been focused on complying with Basel III requirements and maintaining an appropriate capital level, decided to sell its international wealth management unit to Julius Baer Group, a Swiss private banking group.
BofA says the deal will have no substantial impact on Bank of America's balance sheet, financial results or capital ratios.
The consideration paid for the unit will include $250 million in new Julius Baer shares, making BofA a shareholder in the Swiss banking unit, with the remainder paid in cash.
The business unit sold to Julius Baer contains $84 billion in client assets. The final purchase price will be contingent on assets under management when the deal is finally completed.
Closing is expected in the fourth quarter.