The Federal Deposit Insurance Corporation (FDIC) and the New York State Department of Financial Services have given clearance to Apple Bank for Savings for its proposed acquisition of branches from Emigrant Savings Bank.
Based on the terms of the deal, the New York-based lender is acquiring nearly $3.2bn in deposits, which represents most of Emigrant’s retail branch network, including 29 offices and concerned deposit accounts and services.
Apple Bank chairman, president and CEO Alan Shamoon said that the deal will boost the scale and critical mass of its branch network and allow it to retain and acquire customers in the new areas.
Emigrant will retain its offices situated on East 42nd Street in Manhattan and in Ossining, New York and its Internet-based accounts, representing almost $5bn in deposits.
Further terms of the agreement have not been disclosed, although it is likely that the transaction will complete in April this year.
Following closure of the transaction, which was originally announced on 20 July 2012, the acquirer total assets will grow from $9.8bn to $13bn, with a branch network of 79 offices in greater New York.
Apple Financial Holdings, the bank’s parent company, had total capital and reserves of $816m as of 31 December 2012.