NEW YORK ( TheStreet) -- Bank of New York Mellon ( BK) is set to acquire BHF Asset Servicing of Germany for about $343 million. The deal is expected to close in the third quarter. The purchase will be funded internally and the transaction is expected to be immediately accretive to earnings, Bank of New York said in a statement. Bank of New York said the transaction includes the purchase of BHF Asset Servicing's wholly-owned fund administration affiliate, Frankfurter Service Kapitalanlage-Gesellschaft mbH. The new combined German business will have $642 billion in assets under custody. "This transaction expands our capabilities and market share in one of the world's largest fund markets, positioning BNY Mellon at the forefront among securities servicing providers in Germany and creating a strong platform for growth across our businesses," said Tim Keaney, chairman of Europe and co-CEO of BNY Mellon Asset Servicing. Follow TheStreet.com on Twitter and become a fan on Facebook.