Feb 8 - Customers Bank, a strong performing proforma approximately $4 billion asset bank with presence in the New York, New Jersey, Pennsylvania and Washington, D.C., has announced its entry into the New England market with the acquisition of all local New England commercial banking business from Michigan-based Flagstar Bank.
"We are very excited about entering New England and, through our unique private banking model, serving small and medium size businesses, professionals and their employees in Massachusetts and Rhode Island, through this acquisition of Flagstar Bank offices in Boston and Providence," said Jay Sidhu, chairman and CEO of Customers Bank. "The best part of this transaction is that we have recruited a team of very experienced New England bankers that are led by veteran Fleet and Sovereign banker Steve Issa. I worked with Steve for many years at Sovereign and am delighted to have him join our top management team as president of this newly created Customers Bank – New England Division. We plan to be very aggressive and competitive in serving the privately held businesses in Eastern Massachusetts and Rhode Island. We will have an exceptional team and have a goal to prudently grow this business to over $1 billion in outstanding over the next few years," Sidhu continued.
As part of the transaction, Customers Bank is acquiring total banking relationships with many high quality New England businesses that have loans outstanding totaling about $151 million and commitments of about $190 million. No classified or problem loans are included in the purchase. The purchase price is 98.7 percent of loans outstanding.
Customers Bank proforma has about $4 billion in assets. It has two acquisitions of banks pending that it plans to close in the first half of 2013. "We hope to have a very stro.C., striving to excel in exceeding the expectations of our customers, all the time. We were happy to announce last week that our loans and deposits grew over 50 percent last year while net income grew almost 500 percent," Sidhu concluded.
This transaction is expected to close within the first quarter of 2013.
About Customers Bancorp Inc. and Customers Bank
Customers Bancorp Inc. is a bank holding company for Customers Bank based in Wyomissing, Pa. Customers Bank is a state-chartered, full-service bank headquartered in Phoenixville, Pa. With assets of approximately $3.2 billion at Dec. 31, 2012, Customers Bank provides a full range of banking services to small and medium-sized businesses, professionals, individuals and families through branch locations in Pennsylvania, New York and New Jersey. Customers Bancorp Inc. has two pending acquisitions, CMS Bancorp Inc. in White Plains, N.Y., and Acacia Federal Savings Bank in Falls Church, Va. Customers Bank is focused on serving its targeted markets with a growth strategy that includes strategically placed branches throughout its market area and continually expanding its portfolio of loans to small businesses, multi-family projects, mortgage companies and consumers.