Total Bank Solutions
Transaction Summary
On March 28, 2022, Reich & Tang Deposit Networks, LLC ("R&T") and Total Bank Solutions ("TBS") announced a definitive agreement to combine both companies. Estancia Capital Partners, a private equity firm, together with institutional co-investors, would hold the majority ownership interest in the combined firm, with the remaining ownership interest held by employees from both firms. R&T and TBS would come to have a combined total of assets under supervision of more than $220B, and over 120 experienced professionals that would provide services to more than 20 unique broker dealer sweep programs, approximately 100 trust companies as well as registered investment advisors, robo-advisors, municipalities, and retirement plans in coordination with their clearing firms, custodians, and technology integration partners. The transaction closed on June 1st, 2022.
Total Bank Solutions
TBS is a privately held financial technology firm located in Hackensack, New Jersey. The company was founded in 2004 to serve the needs of banks and wealth management organizations. Its offerings include its FDIC Insured Deposit Program (“IDP”) and Loan Management System (“LMS”). With over $100B in assets under administration (“AUA”) as of March 31, 2022, IDP provides wealth managers and their customers the benefit of extended FDIC insurance and, for participating banks, access to a stable, diversified, and cost-effective source of deposit funding. LMS is an end-to-end securities-based lending and collateral monitoring platform that connects banks with borrowers seeking collateralized loans.
R&T Deposit Solutions
R&T offers deposit and liquidity solutions to financial intermediaries throughout the country. Through its Demand Deposit Marketplace® program, R&T provides banks with access to billions in reciprocal deposits, and underlying customers with access to high levels of FDIC insurance through participating banks. R&T is a trusted vendor for large broker dealers and other financial institutions that offer insured cash sweep programs. The firm is focused on providing top tier client service by creating, improving, and delivering smarter solutions to help banks and a range of wealth managers maximize the value of their deposit, liquidity, and short-term investment programs.
