KeyBank purchases 26 HSBC branches in Buffalo region from First Niagara
KeyBank has announced the purchase of 37-HSBC bank branches in Buffalo and Rochester from First Niagara.
KeyCorp signed a purchase and assumption agreement. 26-of those branches are in Buffalo, 11 are in Rochester.
The bank branches are being sold by First Niagara Bank in connection with the acquistion of HSBC's Upstate New York banking franchise.
"This transaction is an exciting opportunity to strengthen our franchise in these attractive markets and, at the same time, build long-term shareholder value," according to KeyCorp Chairman and CEO Beth Mooney.
The transaction is expected to close June 30, 2012, subject to customary closing conditions, including regulatory approval.
Key will offer employment to substantially all of the HSBC employees at the acquired branches.
There are a total of a 252 employees in the Buffalo area and 110 in Rochester.
"Acquiring these branches enables Key to grow by acquiring customers and expanding our branch network," noted Bill Koehler, president of Key Community Bank. "Customers will enjoy the added convenience of more banking locations, exceptional service and a broad selection of products, all from a bank that is financially strong and committed to these markets."