F.N.B. to Acquire Five B of A Branches in Pennsylvania
Vincent Delie, CEO of F.N.B., discusses the costs of and difficulty in complying with size-related regulations, his outlook for acquisitions and the Baltimore market.May 5
The Pennsylvania company is raising $150 million. Two-thirds of it will go toward redeeming trust-preferred securities, but the remaining funds could be used to do bigger deals.October 31
First National Corp. in Strasburg, Va., has agreed to buy six branches in Virginia from Bank of America.November 19
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.