
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: TUESDAY, October 19, 1993                   TAG: 9310190092
SECTION: BUSINESS                    PAGE: B7   EDITION: METRO 
SOURCE: MAG POFF STAFF WRITER
DATELINE:                                 LENGTH: Short

FIRST UNION ACQUIRES INVESTMENT COMPANY

First Union Corp. on Monday doubled the assets of mutual funds it manages by acquiring Lieber & Co., a New York-based investment management and research organization.

Lieber's affiliate, Evergreen Asset Management, acts as adviser to the Evergreen Funds, a $3.3 billion portfolio of mutual funds. It also manages pension, profit sharing, foundation, institutional and individual accounts.

When the transaction closes, Charlotte, N.C.-based First Union will nearly double - from $3.6 to $6.9 billion - the assets of mutual funds it advises and increase its number of funds to 28.

The purchase price was about 3.1 million shares of First Union common stock, worth about $128 million at Monday's closing price of $41.25. The deal is expected to be completed in the first quarter of 1994 subject to regulatory approval and other conditions of closing.

First Union is in the process of licensing at least two employees in each banking branch - 2,600 people by the end of 1994 - to sell mutual funds. The initial class of nearly 200 licensed and registered employees is expected to complete training by November, with a total of 600 employees ready by the end of this year.

Both mutual fund families will retain their former names of Evergreen and First Union, along with their management teams.

John R. Georgius, president of First Union, said the bank will gain complementary funds, a broader product line and greater distribution power for its branch network.

Stephen A. Lieber, founding partner of Lieber, said its gains include the bank's capabilities and resources and its extensive network for sales.

by CNB