Company: WBS-PG
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0000801337-25-000004
Chunk: 36

Company: WEBSTER FINANCIAL CORP
Filing Date: 2025-03-03
Form: 10-K
Item: Item 8
Chunk 36
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 or retrospective basis. The Company is currently evaluating this guidance to determine the impact on its non-interest expense disclosures; however, the impact is not expected to be material.

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Note 2: Acquisitions and Joint Ventures

Ametros AcquisitionOn January 24, 2024, the Bank acquired all of the equity interest in Ametros from Long Ridge Capital Management (the “Seller”). Ametros is a custodian and administrator of medical funds from insurance claim settlements that helps individuals manage their ongoing medical care through its CareGuard service and proprietary technology platform. The acquisition provided the Bank with a fast-growing source of low-cost and long-duration deposits, new sources of non-interest income, and will enhance its employee benefit and healthcare financial services expertise.The acquisition was accounted for as a business combination. Accordingly, the total purchase price, which included cash paid of $359.7 million, the forgiveness of $12.9 million in long-term debt, and the assumption of a $5.8 million liability for the Seller’s transaction expenses, has been allocated to the identifiable assets acquired and liabilities assumed based on their acquisition-date fair values, as summarized in the following table:(In thousands)Fair ValuePurchase price consideration$378,424 Assets:Cash and due from banks310 Premises and equipment1,078 Other intangible assets188,900 Deferred tax assets, net(35,889)Other assets:Funds held in escrow288,167 Accounts receivable2,435 Prepaid expenses1,166 Total other assets291,768 Total assets acquired$446,167 Liabilities:Interest-bearing deposits (1)(20,622)Other liabilities:Accounts payable684 Accrued expenses4,270 Deferred revenue20,391 Members’ funds288,167 Operating lease liabilities$838 Total other liabilities$314,350 Total liabilities assumed$293,728 Net assets acquired152,439 Pre-existing equity interest (2)2,200 Goodwill$228,185 (1)The $20.6 million reflects the amount held in Ametros’ operating cash account at the Bank on January 24, 2024. Upon acquisition, such cash and the Bank’s corresponding deposit liability owed to Ametros were eliminated in consolidation, which resulted in a decrease to interest-bearing deposits for the Bank and the Bank’s legal title to the funds being held in such operating cash account.(2)Prior to the acquisition date, the Company had a 0.6%