Without revealing the terms and transactions, the bank is negotiating the sale of its non US wealth operations and it is expected that the deal would be finalised between $1.5bn to $2bn, as reported by Reuters.
Bank of America has been selling off non-core business units under chief executive Brian Moynihan’s strategy to boost capital base and focus on domestic market.
The bank’s wealth management business outside the US manages approximately $90bn for rich clients and according to industry reports, its asset management units outside the US has never been able to build up the business to match the scale of its home market.
The bank is facing cash crunch due to the financial crisis, mainly due to huge losses and cases connected to its 2008 acquisition of subprime mortgage lender Countrywide Financial.
BOA’s non US private banking business manages clients whose wealth is measured in hundreds of thousands of dollars, rather than super-rich private banking clients worth tens of millions.