Stifel Financial Acquires Banking Firm Business Bancshares
Stifel Financial continues expanding its wealth management unit’s banking services, most recently acquiring Business Bancshares, the St. Louis Post-Dispatch writes.
Business Bancshares is the parent company of the Business Bank of St. Louis, which had around $620 million in total assets, $536 million in total deposits and $516 million in loans as of the end of March, according to the paper.
The Business Bank of St. Louis will be run as a separate subsidiary bank serving clients of Stifel’s Global Wealth Management unit and Institutional Group, the Post-Dispatch reports. Stifel Bank & Trust now has $15.2 billion in assets, according to the paper.
“This acquisition represents another step in the build-out of our banking services in our Global Wealth Management business,” Ron Kruszewski, Stifel’s chairman and CEO, says in a statement cited by the Post-Dispatch.
For the bank, partnering with Stifel will help it expand its lending capacity, Larry Kirby, CEO and president of Business Bancshares and the Business Bank of St. Louis, says in a statement cited by the paper.
Stifel’s latest foray into banking services comes following a quarter in which large banks have taken stronger trading revenue seemingly at the expense of smaller brokerages.
Equities sales and trading revenue rose 26% to 38% in the first quarter of 2018 compared to the year prior at the trading divisions of firms such as JPMorgan Chase, Bank of America, Citigroup and Goldman Sachs. At the same time, trading revenue dropped 10% or more at firms such as Stifel, Raymond James Financial, Evercore and Piper Jaffrey.