Butterfield Bank has agreed to sell its Barbados subsidiary, Butterfield Bank (Barbados) Ltd, to Trinidad and Tobago-based First Citizens Bank Ltd, in a deal worth around US$45 million.The bank said late yesterday that pending regulatory approval, the sale is expected to be completed during the third quarter of this year.Butterfield CEO Brad Kopp said the bank wanted to simplify its operating model and focus on its core businesses.Butterfield’s Barbados unit employs 114 people at its main office in Carlisle House in central Bridgetown and five additional banking centres across the Caribbean island.The bank, which provides retail, premium and business banking and lending services, merchant services, and credit and debit card services in Barbados, had assets of B$617 million (US$308 million) and customer deposits of B$540 million (US$270 million) at the end of 2011.“Since entering the Barbados market in 2003, Butterfield has made good progress in improving and expanding our banking services on the island, and we have built a loyal customer base,” Mr Kopp said.“This divestiture, the gain on which will be finalised on closing, is consistent with our strategy to simplify our operating model and focus our resources and capital on a smaller number of businesses where we have scale and competitive advantage.“In First Citizens, Butterfield has found the ideal buyer for our Barbados operations: a full service bank with a strong reputation for service and innovation, which has a well-established, complementary business on the island.“Our employees, customers and premises in Barbados are a good fit with First Citizens’ business model, and we are confident that all stakeholders will benefit from this transaction.”Butterfield Bank (Barbados) Limited was established in 2003 through Butterfield’s acquisition of the Barbados assets of the Mutual Bank of the Caribbean, Inc, then a subsidiary of The Barbados Mutual Life Assurance Society.First Citizens’ acquisition of Butterfield Bank (Barbados) Ltd represents the first acquisitive expansion of its full service banking business outside of its home market of Trinidad and Tobago.First Citizens has assets of almost US$5 billion and equity of over US$800 million, providing a strong platform for the Barbados bank.Larry Howai, the Group CEO at First Citizens, said: “This transaction confirms that First Citizens is well on course in terms of its strategic direction, particularly as it relates to acquisitions and regional expansion.“This is certainly a ‘win-win’ situation for both organisations and what is most rewarding is the fact that the customer wins. I must emphasise that our commitment to put customers first has been replicated in Barbados through our Investment Services Company and will be extended to more communities thanks to Butterfield Bank (Barbados).”