Idaho Trust Company to acquire Bank of Idaho’s trust and wealth management division

BOISE, Idaho, January 7, 2025 – Idaho Trust Company has entered into a definitive agreement to acquire the trust and wealth management division of Bank of Idaho. The transaction, expected to conclude in the first quarter of 2025, represents a strategic step for Idaho Trust to expand its footprint in eastern Idaho, enhance its service portfolio, and bring greater value to its clients.

The acquisition will see Idaho Trust’s assets under administration and advisement increase to approximately $1.13 billion from the current $846 million, signaling the firm’s growing presence as a leader in trust and wealth management services across Idaho and beyond.

Strategic Expansion for Idaho Trust Company

This acquisition reinforces Idaho Trust Company’s vision of delivering personalized trust and wealth management services tailored to the evolving needs of individuals, families, and businesses. By integrating Bank of Idaho’s Trust and Wealth Management Division, Idaho Trust gains access to seasoned professionals, a loyal client base, and new opportunities for growth in eastern Idaho.

Thomas Prohaska, Chairman and President of Idaho Trust Company, described the move as an exciting opportunity to broaden the company’s reach and strengthen its capabilities. He emphasized the importance of maintaining the same dedication to excellence that has defined Idaho Trust while seamlessly integrating new clients and team members into its operations.

“By joining forces with Bank of Idaho’s trust and wealth management experts, we’re not just expanding our geographical reach—we’re enhancing the level of service and resources we can offer to every client,” Prohaska stated, underscoring the acquisition’s alignment with Idaho Trust’s growth strategy.

Bank of Idaho Refocuses on Core Banking Operations

For Bank of Idaho, headquartered in Idaho Falls, the divestiture marks a strategic shift toward focusing on its core business areas: commercial and personal banking. The $1.29 billion financial institution, which operates 15 branches across southern and eastern Idaho as well as eastern Washington, specializes in SBA lending, commercial loans, and mortgage products.

Jeff Newgard, Chairman, President, and CEO of Bank of Idaho, expressed confidence in Idaho Trust Company’s ability to serve the transitioning clients with expertise and dedication. He highlighted that the decision to transfer the Trust and Wealth Management Division ensures clients will benefit from expanded resources and specialized services while enabling Bank of Idaho to concentrate on its primary mission of delivering excellence in banking services.

“Our top priority has always been providing exceptional service to our clients. Partnering with Idaho Trust ensures they will continue to receive the highest quality support, now with an even broader suite of financial solutions,” Newgard remarked.

A Client-Centric Approach to Transition

Both Idaho Trust Company and Bank of Idaho have emphasized their commitment to ensuring a seamless transition for all clients impacted by the acquisition. Existing clients of Bank of Idaho’s Trust and Wealth Management Division will receive detailed communications in the coming weeks, outlining the transition process and introducing them to Idaho Trust’s expanded offerings.

Idaho Trust Company’s established reputation for customized trust and investment management services, combined with its private, personal, and business banking solutions, positions it as an ideal partner for this transition. Operating two full-service branches in Boise and Coeur d’Alene, along with a trust office in Las Vegas, Nevada, the company is well-equipped to serve a diverse clientele.

The expanded capabilities will allow clients to access enhanced wealth management strategies, estate planning solutions, and trust administration services, all delivered by a team recognized for their expertise and dedication.

Transaction Details and Industry Expertise

The transaction is expected to finalize by the end of the first quarter of 2025, subject to customary regulatory approvals. MJC Partners acted as financial advisor to Bank of Idaho, with legal counsel provided by Otteson Shapiro LLP. Idaho Trust Company was represented by Hawley Troxell.

By aligning their focus on areas of expertise, both institutions stand to benefit from this strategic partnership. Bank of Idaho will continue to strengthen its foothold in traditional banking, while Idaho Trust is poised to solidify its status as a leader in trust and wealth management services.

Broader Implications for Idaho’s Financial Landscape

This acquisition reflects a broader trend within the financial services industry, where institutions are increasingly focusing on niche strengths to deliver better client outcomes. Idaho Trust’s growth signals confidence in the demand for specialized trust and wealth management services, especially in an environment where tailored solutions are becoming a key differentiator.

For clients, the partnership ensures access to robust financial solutions, advanced tools, and experienced professionals adept at navigating the complexities of wealth management. For Idaho’s financial ecosystem, it underscores the region’s dynamic growth and the increasing sophistication of its financial institutions.

Looking Ahead

As the integration progresses, Idaho Trust Company and Bank of Idaho will continue to prioritize client satisfaction, ensuring that all transitions are handled with the utmost care. Both organizations have pledged to maintain open communication with clients, reinforcing their shared commitment to excellence and trust.