Principal Financial Group Inc is in advanced talks to acquire Wells Fargo & Co&#...
A Wells Fargo logo is seen in New York City, U.S. January 10, 2017. REUTERS/Stephanie Keith
- Principal Financial Group Inc is in advanced talks to acquire Wells Fargo & Co’s retirement plan services business, in a deal that could exceed $1 billion, people familiar with the matter said on Sunday. Wells Fargo has been seeking to streamline its business as it grapples with the fallout of customer abuse scandals. The bank is prohibited from growing in size after the Federal Reserve slapped it with an unprecedented asset cap in February 2018, citing “widespread consumer abuses and compliance breakdowns.”
The bank’s retirement plan services unit, which includes Wells’ 401 savings accounts business, would expand a similar business of Principal Financial. If the negotiations are concluded successfully, a deal could be announced later this month, according to the sources, who spoke on condition of anonymity as the information is confidential.Based in Des Moines, Iowa, Principal Financial is a life insurance and financial services group with a market capitalization of $14.5 billion.
The disclosure three years ago that Wells Fargo created millions of fake customer accounts prompted regulatory probes into mortgage foreclosures, auto insurance sales and its wealth management businesses, resulting in billions of dollars in fines.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
This Veteran Managed Air Force Systems Before Managing $500M At Wells FargoBefore he managed finances, Steve Viets was responsible for managing something completely different—command management systems for the U.S. Air Force
Read more »
Washington Wants to Know Why Timothy Sloan Hasn’t Fixed Wells FargoWells Fargo's regulators are debating a rare step: whether to force out top executives or directors. It's a reminder that CEO Timothy Sloan, who testifies before Congress this week, is still in the hot seat with Washington.
Read more »
Wells Fargo CEO heads to Congress amid claims that reforms are slippingAs the chief executive of Wells Fargo & Co. gets set to tell lawmakers that the bank is moving past its history of consumer abuses, a new report contends the embattled San Francisco financial institution is backsliding.
Read more »
Wells Fargo CEO to tout risk management, remediation to U.S. CongressWells Fargo & Co Chief Executive Tim Sloan will tout the scandal-plagued bank&0...
Read more »
Wells Fargo CEO Tim Sloan is getting ready to be grilled by CongressWells Fargo CEO Tim Sloan will be testifying before Congress in response to the company's widespread customer abuses.
Read more »
Wells Fargo CEO draws bipartisan ire in Congress hearingBoth Democratic and Republican lawmakers pressed Wells Fargo & Co Chief Executiv...
Read more »
Wells Fargo CEO Faces Aggressive Questions from CongressWells Fargo Chief Executive Timothy Sloan faced combative questions from a bipartisan group of House lawmakers, his latest test in the yearslong fallout from his bank’s sales-practices scandal.
Read more »
Wells Fargo CEO avoids major stumble at heated congressional hearingDemocratic and Republican lawmakers on Tuesday pressed Wells Fargo & Co Chief Ex...
Read more »
Wells Fargo CEO Tim Sloan’s message of contrition and improvement draws bipartisan rebukeWells Fargo & Co. Chief Executive Tim Sloan traveled to Capitol Hill with a message of contrition for its many scandals and commitment to treating its employees and customers right. Lawmakers from both parties weren’t buying it.
Read more »