(Bloomberg) -- Citizens Financial Group Inc. agreed to buy Investors Bancorp in a $3.5 billion deal that will give it a bigger presence in New York City and Philadelphia.
The cash and stock transaction is expected to be completed in the first half of next year, the banks said in a statement Wednesday. The purchase will add about $27 billion of total assets, which would bring Citizens above $200 billion.
Citizens, based in Providence, Rhode Island, is already among the 20 biggest U.S. banks and has been growing through acquisitions. Earlier this year, it agreed to buy 80 of HSBC Holdings Plc’s U.S. branches, picking up about $9 billion in deposits and $2.2 billion in loans as part of the deal.
With the HSBC and Investors deals, the company said it will be among the top 10 banks in New York City by deposits. The Investors acquisition will give Citizens 154 new branches, about 130 of which are in the New York City metro area.
Kevin Cummings, Investors’ chief executive officer, is expected to join Citizens’ board.
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