A Webster Bank branch in downtown Boston. Photo by James Sanna | Banker & Tradesman Staff

Connecticut-based Webster Bank has agreed to acquire a deposit management platform, adding more than $9 billion in core deposits to the bank.

Webster, which has branches in Eastern Massachusetts, said in a statement today that it would acquire StoneCastle Insured Sweep LLC, which is a subsidiary of New York-based StoneCastle Partners LLC and known by its brand name interLINK.

Financial terms of the transaction were not disclosed. The transaction is expected to close in the first quarter of 2023, the statement said.

A technology-enabled deposit management platform, interLINK administers over $9 billion of deposits from FDIC-insured cash sweep programs between banks and broker/dealers and clearing firms, the statement said. Webster said that the platform’s technology allows for significant liquidity at minimal operating cost.

Under the agreement, interLINK will continue to operate and serve broker/dealers and clearing firms as it does today.

Webster said the acquisition of interLINK would provide the bank with access to core deposit funding and add another channel to Webster’s deposit gathering, which includes commercial and consumer banking businesses, HSA Bank and BrioDirect.

“The acquisition complements our strategy to build a bank with diverse funding capabilities and technology-enabled businesses,” John Ciulla, Webster Financial Corp.’s president and CEO, said in the statement. “interLINK is a unique deposit channel that provides a scalable source of liquidity for the company.”

Webster had about $69 billion in assets and $54 billion in deposits as of Sept. 30.