NEW BRITAIN - Peopleâ€™s United Financial Inc., announced Tuesday that it is acquiring Farmington Bank in an all-stock transaction valued at about $544 million.
The transaction is subject to conditions including receipt of regulatory approval and the approval of First Connecticut Bancorp, Inc. shareholders.
â€śWe are excited to welcome Farmington Bank to Peopleâ€™s United,â€ť Jack Barnes, CEO of Peopleâ€™s United Financial, said. â€śThey have a longstanding relationship-based approach to serving their customers and complementary commercial and retail capabilities. This, coupled with their experienced team and similar culture, will strengthen our well-established presence in the region.â€ť
The transaction is expected to close in the fourth quarter.
According to a press release from Peopleâ€™s, both companiesâ€™ boards of directors have approved the terms. First Connecticut Bancorp shareholders are expected to get 1.725 shares of Peopleâ€™s United Financial stock for each Connecticut Bancorp first share.
â€śPeopleâ€™s United Bank is a premier brand with a rich 176-year history in the state of Connecticut,â€ť John Patrick, chairman, president and CEO of Farmington Bank, said. â€śOur customers will benefit from their broader array of products, enhanced access to technology and digital capabilities, as well as the bankâ€™s seven-day-a-week Stop & Shop branch locations.â€ť
First Connecticut Bancorp is the parent of Farmington Bank, which has 28 branches in central Connecticut and western Massachusetts, including a branch in New Britain, at 73 Broad St. Farmington Bank, established in 1851, has $31.1 billion in assets.
Peopleâ€™s United Financial is based in Bridgeport, and Peopleâ€™s United Bank is its subsidiary. It has 400 retail locations in Connecticut, New York, Maine, New Hampshire, Vermont, and Massachusetts. It was founded in 1942 and it has $44 billion in assets.
â€śAs with the Peopleâ€™s United Community Foundation, Farmington Bank has a strong commitment to community giving,â€ť Barnes said. â€śWith our shared focus, we will continue to positively impact the lives of individuals, families and businesses throughout Hartford County.â€ť
Karla Santos can be reached at 860-801-5079.