People's United Bank to Acquire Select Citizens Bank Branches and Deposits in New York State
People's United Financial, Inc. (Nasdaq: PBCT), the holding company for People's United Bank, announced today a definitive agreement by which People's United Bank will acquire 56 branches from Citizens Financial Group, Inc. and assume $325 million in deposits associated with these branches. Fifty-two of the branches are situated in Stop & Shop supermarkets and four are traditional branches. All of the branches are located in the state of New York, with 29 on Long Island, eight in Westchester County and six in the boroughs of New York City, all areas of key focus for People's United. People's United, which currently operates 87 Stop & Shop branch locations in Connecticut, will pay Citizens a 1% premium on the assumed deposits.
The all-cash transaction is valued at $3.25 million and includes all existing Citizens Bank branches in Long Island and New York City as well as certain locations in New York state's Westchester, Rockland, Putnam, Orange, Dutchess and Ulster Counties. People's United has agreed that all employees at the acquired Citizens branches will be offered comparable positions at People's United. Completion of the transaction is anticipated late in the second quarter of 2012 and is subject to customary closing conditions, including the receipt of regulatory approvals.
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