New York Community Bank has agreed to acquire about a third of the assets of Signature Bank, the regional New York-based bank that collapsed and was shut down by federal regulators last week.

The Federal Deposit Insurance Corp. announced a $2.7B deal on Sunday in which Community Bank agreed to purchase assets worth $38.4B from Signature, according to a report in the New York Post.

Beginning this morning, Signature's 40 bank branches will become Flagstar Bank outlets, a subsidiary of New York Community Banks. The balance of Signature's assets, more than $60B,  will remain in receivership until they are sold off, FDIC said.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.