Deals and People

Retirement Industry People Moves

Community Bank Systems to Acquire Northeast Retirement Services; IFM Names Development Director; PGIM Names Head of Research for Institutional Advisory Services; and more.

By Javier Simon editors@assetinternational.com | December 09, 2016
Page 1 of 6

Community Bank Systems to Acquire Northeast Retirement Services

Community Bank System announced that it has entered into an agreement to acquire Northeast Retirement Services (NRS). Upon the closing of the transaction, NRS will become a subsidiary of Benefit Plans Administrative Services (BPAS) a wholly-owned subsidiary of Community Bank System.

NRS is focused on providing institutional transfer agency, master recordkeeping services, custom target-date fund administration, trust product administration and customized reporting services to institutional clients. Its wholly-owned subsidiary, Global Trust Company (GTC) is a non-depository trust company which provides fiduciary services for collective investment trusts and other products.

“We are very excited to be partnering with NRS, a respected and growing provider of customized institutional trust services,” says Community Bank System President and CEO Mark E. Tryniski. “The transaction will strengthen and complement our existing BPAS businesses, and represents an attractive and balanced utilization of our strong currency and existing surplus capital ... We are also pleased that Thomas Forese, President and Chief Executive Officer of NRS, and the entirety of the current leadership team will continue in their capacities with NRS after the combination, as an operating subsidiary of BPAS.”

Thomas Forese, president and CEO of NRS adds, “Our Board of Directors and senior management team, in considering various strategic alternatives, placed great value on the compatibility of Community Bank System’s culture, employees, strategy and leadership with those of NRS.” 

The deal’s cash and stock transaction is valued at approximately $140 million and is expected to close in the first quarter of 2017, subject to certain shareholder and regulatory approvals. The transaction has been unanimously approved by the boards of directors of both companies.

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