F.N.B. in Pittsburgh has agreed to buy five branches from Bank of America in eastern Pennsylvania.
The $16.3 billion-asset F.N.B. will acquire $280 million in deposits and related assets along with the branches, the company said Wednesday. F.N.B. will pay a $7.7 million deposit premium; an amount equal to the carrying value of the assets as of the closing date; and accrued and unpaid interest on all loans. The transaction is expected to close in the third quarter.
Two of the branches are located in Berks County, two in Lancaster County and one in Chester County. F.N.B. intends to retain all employees. The deal will give F.N.B., the holding company for First National Bank of Pennsylvania, a total of 225 branches in Pennsylvania.
The deal follows other recent acquisitions by F.N.B., including OBA Financial Services and Annapolis Bancorp in Maryland, PVF Capital in Ohio and Parkvale Financial in Monroeville, Pa.
RBC Capital Markets was financial adviser to F.N.B. and Reed Smith was its legal adviser. Wachtell, Lipton, Rosen & Katz was legal counsel to B of A.