Webster sells wealth management division of FirstFed

Webster Financial Corp. sold its share of the wealth management company FirstFed Trust Co. NA to Providence-based Coastline Trust Co.

FirstFed Trust includes 178 clients with $770 million fiduciary assets. The sale was originally discussed when Webster sought to acquire the trust company’s parent company, FirstFed American Bancorp Inc., according to Webster spokesperson Meghan Thompson. Terms of the deal were not disclosed.

“We never really owned the trust company or considered it an asset when we acquired FirstFed,” she said.

As part of its $465 million acquisition of FirstFed American Bancorp, which was completed in May, Webster received a 65-percent share in the FirstFed Trust.

- Advertisement -

Coastline, the sole minority shareholder of FirstFed Trust, had the option to purchase an equity ownership interest should FirstFed change ownership.

“We have worked together productively since the formation of FirstFed Trust Co. and look forward to maintaining our strong relationships,” said Edward A. Hjerpe III, Webster’s president and COO for Massachusetts and Rhode Island and former director of FirstFed Trust.

No posts to display