NEW YORK, Nov. 27, 2012 (GLOBE NEWSWIRE) -- StoneCastle Cash Management, LLC ("StoneCastle"), a leading provider of cash management products for institutional investors and funding solutions for community and regional banks, announced that it has entered into a definitive agreement with eCD Market, LLC ("eCD") to acquire its assets and enter into an exclusive licensing agreement for its innovative, patented online CD marketplace. Terms of the transaction have not been disclosed.
The eCD deposit portal was designed specifically for institutional clients. It allows buyers to easily obtain a high amount of FDIC insurance for cash balances through a nationwide marketplace of participating banks offering FDIC insured CDs. For banks, the unique eCD marketplace provides an efficient way to acquire non-brokered time deposits and create new direct relationships with institutional customers. The eCD marketplace offers the ability for depositors and banks to customize and target offers to their specific needs. eCD does not list banks' rates on a bulletin board, but rather allows banks and depositors to transact on the first automated trading system for CDs. Banks and depositors obtain robust market information and comprehensive reporting with a single point of access.
StoneCastle, already a leader in cash management solutions for institutions through its successful FICA® program, chose eCD to meet the needs of its institutional clients seeking additional safe and secure options for cash balances.
"We are pleased to add a term deposit solution to our current slate of cash management solutions," said Steve Rotella, President and CEO, StoneCastle Cash Management, LLC. "Institutional clients seeking to maximize cash balances will be able to easily construct a fully insured CD portfolio with complete transparency though this innovative portal. Treasurers need safe and secure vehicles for cash, while banks are looking for ways to increase profits and build business relationships. We believe eCD is a solution for both," said Rotella.
"StoneCastle Partners' innovative investment strategies and cash management solutions have made us one of America's largest investors in community banks and a recognized cash management leader for institutions," said Joshua Siegel, Chairman of StoneCastle Cash Management, LLC and CEO of StoneCastle Partners, LLC. "This transaction builds upon this mission and underscores our commitment to addressing the most pressing concerns facing banks today," added Siegel.
"We are pleased to join forces with a proven leader in solutions for banks and to expand upon the innovative technology platform we have built", said Andrew Wise, CEO of eCD Market LLC, who will join StoneCastle as CEO of StoneCastle eCD Market, LLC.
About eCD Market:
eCD Market (www.ecdmarket.com) is a patented online marketplace connecting the institutional treasury community and community banks. Unlike any other portal, treasury professionals set and control the rate and maturity profile to ensure that CD investments fit their overall cash management needs. Through eCD Market, treasury professionals can seamlessly monitor outstanding CD orders and track and report on all their CD holdings.
Banks seeking to establish new relationships and help manage their cost of funds enter targeted CD offers based on volume, maturity and time to execution, in a marketplace where they can test or change offers on-the-fly. The CD establishment process is seamless and conducted directly through the system.
About StoneCastle:
StoneCastle Partners, LLC ("StoneCastle", www.stonecastlepartners.com) was founded in 2003 and is one of the largest managers of investment funds and providers of advisory services dedicated to the U.S. community banking sector. StoneCastle was founded with a mission to help ensure a strong and healthy community banking sector by creating a bridge between institutional investors and these banks. Its history of developing innovative investment strategies and deposit solutions has made it one of the most respected financial organizations and largest investors in community banks. Collectively, StoneCastle and its principals have provided over $5.6 billion of capital to over 430 community banks in the U.S. and have established 400+ deposit relationships that provide stable deposit funding to community banks through StoneCastle Cash Management, LLC and its FICA product.
StoneCastle Cash Management, LLC, an affiliate of StoneCastle Partners LLC, is an investment adviser registered with the United States Securities and Exchange Commission. Recognized by Investment News as "one of the leading innovators in the cash management arena," StoneCastle Cash Management, LLC provides cash management solutions for institutions. Today, StoneCastle and its affiliates have over $5 billion in assets under management. For more information regarding the firm, please see its Form ADV Parts 1 and 2A on file with the SEC. Registration with the SEC does not imply a particular level of skill or training.
The StoneCastle logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=15925