People’s United Bank, which acquired Riverhead-based Suffolk County National Bank in 2017, has announced its acquisition by M&T Bank.
The Buffalo-based M&T Bank will acquire People’s United in an all-stock transaction valued at approximately $7.6 billion. The deal, pending regulatory approvals, is expected to close in the fourth quarter of this year,
“The combined company will create a diversified, community-focused banking franchise with approximately $200 billion in assets and a network of more than 1,100 branches and over 2,000 ATMs that spans 12 states from Maine to Virginia and the District of Columbia,” the two banks said in a joint press release.
Under the terms of an agreement entered into last month, People’s United shareholders will receive 0.118 of a share of M&T common stock for each People’s United share they own, according to the press release. That represents $17.70 per share of People’s common stock.
Following completion of the transaction, former People’s United shareholders will collectively own approximately 28% of the combined company.
M&T currently operates 716 branches in New York and the Mid-Atlantic states, including one on Route 58 across from Lowe’s.
People’s United Bank has a branch on Second Street, at the corner of Roanoke Avenue. Shortly after People’s acquired Suffolk County National Bank, it closed SCNB’s Ostrander Avenue branch and 12 other Long Island branches.
People’s United in January announced it would not renew its contracts with Stop & Shop for 140 in-store branches — 84 in Connecticut and 56 in New York, including one in the Riverhead Stop & Shop on Route 58. The in-store branches would be phased out over several years, People’s said in a Jan. 21 press release. The Riverhead Stop & Shop branch remains open.
It is not yet known whether M&T Bank intends to retain two branches in Riverhead. People’s Second Street branch is located on a 4.2-acre site purchased from People’s by Northwell Health in 2017. The site also includes two office buildings and two-story home on Griffing Avenue. People’s leases the branch building and parking area from Northwell.
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