First National Bank of Omaha will buy Union Bank of California's credit card portfolio, the companies announced Thursday.
Terms of the deal, which is expected to close April 16, were not disclosed. Union Bank has about $270 million of card loans outstanding and 195,000 accounts.
The deal would turn FNB Omaha into the agent bank card issuer for Union Bank. FNB Omaha would own the accounts and service them, and it would issue credit cards to Union Bank customers. Those cards would bear the logo and name of Union Bank, a subsidiary of Unionbancal Corp., San Francisco, which is owned by Bank of Tokyo-Mitsubishi.
The portfolio transfer is expected to be completed by Oct. 31.
"We are excited by the prospects of an alliance with an institution such as Union Bank of California, which has an extensive and vibrant presence in the California market," said Bruce Lauritzen, chairman of FNB Omaha.