The Federal Reserve banks have received dozens of mergers and acquisitions applications with the targets located throughout the country. In addition, at least three foreign organizations have been buying up financial institutions. In other bank merger activity, the regulator of the Federal Home Loan Bank system seeks to allow mergers among the banks.
Berkshire Hills Bancorp Inc. announced Wednesday an agreement to acquire Legacy Bancorp Inc. and subsidiary Legacy Bank. Berkshire will spend $108 million on the acquisition. The deal, classified as a reorganization for tax purposes, will create a $4 billion bank.
It’s the second acquisition Berkshire has in the works; a transaction is pending to acquire Rome Bancorp. Including the Rome and Legacy mergers, the combined bank will have 60 branches operating in Massachusetts, New York and Vermont.
Caja de Ahorros de Valencia, Castellón y Alicante, Bancaja and Banco Financiero y de Ahorros, S.A., both of Spain have received final approval from the Federal Reserve Board to acquire Florida bank holding company CM Florida Holdings Inc., City National Bancshares Inc., and City National Bank of Florida.
Cascade Bancorp and its subsidiary Bank of the Cascades have been the acquisition target of 39 individual investors and investing companies.
The Federal Housing Finance Agency last month proposed that the Feds allow any Federal Home Loan Bank to voluntarily merge with another bank with the approval of its board of directors, its members, and the director of the Federal Housing Finance Agency. The proposed rule was posted in the Federal Register on Nov. 22.
TowneBank this month completed The Bank of Currituck acquisition which represents $155 million in assets, according to a company press release. The Suffolk, Va.-based $3.7 billion TowneBank said at closing it paid approximately $8 million in an all cash transaction.
The National Credit Union Administration announced last month the acceptance of a purchase and assumption proposal submitted by Corporate America Credit Union of Birmingham, Ala., for Smart Source Solutions, a wholly-owned credit union service organization of South Wallingford, Conn.-based Constitution Corporate Federal Credit Union.
