Glendale Federal to Buy $205 Million in Deposits

Glendale Federal Bank said it has signed a definitive agreement to purchase $205 million in deposits from Independence One Bank of California for about $210 million. The transaction is expected to close in the June, 1995, quarter, and is subject to regulatory approval.

“We will continue to search for retail deposits in California as we seek to build our branch office franchise,” said Stephen J. Trafton, chief executive of Glendale Federal. “We believe the recovery of the California economy and the alienation of customers by big, impersonal, commercial banks provides a significant opportunity and potential for growth.”

With the closing of the transaction, Independence One’s retail deposits at its Beverly Hills, Century City, Corona Del Mar, Laguna Hills and La Jolla branches will be transferred to Glendale Federal, which will assume the leases on all but the Laguna Hills branch.

Because Glendale Federal already has branches in Beverly Hills and Laguna Hills, offices of the two institutions will be consolidated at those locations. Glendale Federal, a Glendale-based savings and loan, had total assets of $16.8 billion on Sept. 30.