The deal comes less than six months after Butterfield announced it would acquire Deutsch Bank's global trust solutions business.

Butterfield has agreed to acquire Deutsche Bank’s banking and custody business in the Cayman Islands, Jersey and Guernsey for an undisclosed price. 

Butterfield, which shuttered its UK private bank around two years ago, intends to offer positions to “a majority” of Deutsche Bank employees affected who will be able to transfer along with the acquired business, it said. This includes staff in Mauritius who provide operations and support services to the Cayman and Channel Islands banking and custody businesses. 

In October, Butterfield agreed to acquires Deutsche Bank’s global trust solutions business, also with operations in the Cayman Islands and Guernsey, as well as Switzerland, Singapore and Mauritius. 

Michael Collins, Butterfield’s chairman and chief executive, said: “Butterfield is focused on building shareholder value through both organic growth and the acquisition of businesses that fit our core banking, wealth management and trust competencies in high quality offshore markets. The acquisition of Deutsche Bank’s global trust solutions business… will provide Butterfield with a Singapore trust company.”

He continued: “We have long had an interest in establishing operations in Singapore to support the growth of our legacy trust business in Asia. And with this banking transaction, we will gain a presence in Jersey to complement our existing Guernsey-based Channel Islands bank, giving us increased scale and the opportunity to realise operational economies in the region.”

In a bid to recover from regulatory blows that have left billion-dollar dents in its balance sheet, Deutsche Bank has in recent years span-off several businesses so it can focus more on core markets. John Cryan, its chief executive, has leaned the bank’s business model more towards global wealth management in an effort to tap profits from the world’s wealthy amid growing pressures from shareholders demanding a turnaround. 

Last year, Deustche Bank announced a partial initial public offering (IPO) of its $870 billion asset management unit, in a move that would ensure Germany’s biggest bank keeps a foot in the company. 

Last week, the bank’s share price slumped to its lowest level since the crisis confidence of 2016, as analysts downgraded their buying recommendations following its lacklustre fourth-quarter results.