Memphis, TN and Dubuque, IA
First Mercantile Trust (“FMT”), a leading provider of technology-enabled retirement solutions for financial intermediaries and their clients, has completed its previously announced strategic acquisition of American Trust Retirement (“ATR”) from American Trust & Savings Bank. FMT is a subsidiary of EdgeCo Holdings, Inc. (“EdgeCo”) and this transaction reflects a continued commitment by EdgeCo and its subsidiaries to provide best-in-class retirement solutions to the small and mid-sized retirement plan market.
“American Trust Retirement represents an ideal fit with our retirement plan platform and will support our continued growth and delivery of unique solutions in partnership with financial intermediaries,” said John Moody, Chief Executive Officer of EdgeCo.
“We believe that advisors, TPA’s, and their respective clients, as well as our employees, will win in a big way as a result of this acquisition,” said Kurt Wedewer, who has joined EdgeCo as a Regional President of American Trust Retirement. “ATR and EdgeCo’s shared focus on creating better retirement outcomes and providing a differentiated fiduciary offering is a perfect combination. We are excited about the comprehensive solution the combined organization now offers to financial intermediaries and their clients.”
Following the acquisition, EdgeCo will be rebranding its full-service record-keeping business as “American Trust Retirement”, reflecting the organization’s national scale and growth. ATR and FMT’s dedicated service model, technology enabled participant engagement strategy, Collective Investment Trust offering, and discretionary trustee 3(16) and 3(38) solutions will all continue to be foundational elements of the combined business. EdgeCo will continue investing in the business to support initiatives, such as financial wellness and plan governance, that help financial intermediaries further differentiate themselves.
Barack Ferrazzano Kirschbaum & Nagelberg LLP served as legal counsel and Sandler O’Neill + Partners, L.P. served as financial advisor to American Trust & Savings Bank. Kirkland & Ellis LLP served as legal counsel to EdgeCo.
About EdgeCo Holdings, Inc.
Through its subsidiaries, EdgeCo is a leading provider of best-in-class technology-enabled solutions for financial intermediaries and their clients. For over four decades, EdgeCo companies have provided a suite of technology and support services including full service retirement plan administration, brokerage, advisory and trust and custody services to a diverse national client base of financial intermediaries. This client base includes registered representatives, investment advisors, and other financial intermediaries including retirement plan record-keepers, TPA’s, bank trust departments, broker dealers, and insurance companies. The firm services approximately $115 billion in client assets under custody or administration and more than 8,000 financial advisors and 500 financial institutions.