30 BofA private equity employees leaving – Bloomberg

* BofA employees leave with other private equity plans

* Bank to sell $1.2 bln in Warburg Pincus commitments

CHARLOTTE, N.C., July 23 (BestGrowthStock) – Bank of America Corp
(BAC.N: ) will lose roughly 30 employees as they depart for other
private equity ventures, and it plans to sell $1.2 billion of
commitments to funds managed by Warburg Pincus LLC, Bloomberg
reported on Friday.

U.S. banks are under new regulatory pressure to rid
themselves of private equity investment ventures.

The new financial reform law signed by President Obama this
week caps the size of banks’ investment in private equity at 3
percent of their capital. But the banks have years to comply
with the new rule.

Jason Cipriani, head of the bank’s strategic funds
investments, will take 10 employees and form a Charlotte office
for New York-based investment firm Sterling Stamos, Bloomberg
reported.

Separately, Travis Hain, a managing director who oversees
direct corporate investments, will take 20 employees and form
his own firm, Bloomberg reported.

Both firms will manage investments for the bank and other
clients, Bloomberg reported.

In April, Bank of America sold a $1.9 billion portfolio of
private equity investments to AXA Private Equity.

As of June 30, the bank’s global principal investments unit
$14.8 billion in investments, down from $15.9, billion in first
quarter.

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(Reporting by Joe Rauch; Editing by Derek Caney)

30 BofA private equity employees leaving – Bloomberg