Axos Bank has signed a deposit assumption agreement to acquire nearly $225m of deposits from MWABank.
The acquisition is expected to get closed by 31 March next year, subject to receipt of necessary regulatory approvals.
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Details of MWABank deposits acquisition:
The overall acquisition includes $194m of checking, savings and money market accounts as well as $31m of time deposits.
The transaction does not involve any transfer of MWABank assets, employees or branches to Axos Bank.
It also does not involve payment of deposit premium and replacement of higher cost funding with the acquired deposits, at the completion of the transaction.
Axos Financial president and CEO Greg Garrabrants said: “We are excited about the opportunity to provide comprehensive banking services to MWABank’s retail and business customers and fraternal chapters.
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By GlobalData“Our digital consumer banking platform and service-oriented model are an ideal fit for MWABank’s model of providing high-touch services to clients across the country.”
He added that the acquisition is expected to new customers to the bank as well as reduce its funding costs.
MWABank president and CEO Steve Ollenburg said: “MWABank has always made customer service its first priority, so we were very careful to find a good home for our customers. We believe we’ve found that in Axos Bank.”
Headquartered in San Diego of California, Axos Bank offers consumer and business banking products through its distribution channels and affinity partners. The bank boasts around $10bn in assets.
