Wachovia Bank Card Services on Jan. 31 completed the acquisition of the credit card portfolio of Partners First Holdings LLC, the credit card subsidiary of Bankmont Financial, U.S. holding company of Bank of Montreal.
In conjunction with the acquisition of the Partners First portfolio, Wachovia has assumed the duties and obligations of transferor and servicer for the securitization of a portion of the portfolio under the Partners First Credit Card Master Trust.
Wachovia paid an 8.3 percent premium for the $1.985 billion portfolio. The acquisition was accounted for as a purchase. The purchase agreement also includes an exclusive 5-year arrangement for Wachovia to act as credit card provider for Harris Bank, a $27 billion asset subsidiary of Bankmont Financial.
Wachovia Bank Card Services is a wholly owned subsidiary of Wachovia Corporation, which had assets of $67.4 billion at Dec. 31, 1999.