Sonabank, a subsidiary of Southern National Bancorp of Virginia (SONA) agreed with the FDIC to assume all of the deposits as well as certain assets of Greater Atlantic Bank. Sonabank will receive 179 million dollars of deposits, as well as 142 million dollars of loans. The FDIC agreed to cover 80% of losses on the disposition of the loans. Sonabank said it will receive the assets at a 20 million dollar discount, and is not paying any premium on deposits. On Monday, shares of Southern National were soaring more than 19 and a half percent.
And New York Community Bancorp (NYB) agreed with the FDIC to acquire all of the deposits and certain assets and liabilities of AmTrust Bank. New York Community gets 8 billion dollars of deposits as part of the deal, as well as 6 billion dollars of single-family mortgage and consumer loan assets. Under the terms of the agreement, non-performing loans and certain other assets are excluded from the deal. The company said the deal will be immediately accretive to earnings. In connection with the acquisition, New York Community Bancorp announced it plans to offer 60 million common shares in a public offering led by Credit Suisse (CS) as the sole book-running manager, with co-managers including BofA Merrill Lynch (NYSE:BAC), J.P. Morgan (NYSE:JPM), and Raymond James (NYSE:RJF). Shares of New York Community Bancorp gained more than 10% in early trading Monday.
Any ideas and opinions presented in all Market News Video clips are for informational and educational purposes
only, and do not reflect the opinions of BNK Invest, Inc. or any of its affiliates, subsidiaries or partners.
In no way should any content contained herein be interpreted to represent trading or investment advice.
None of the information contained herein constitutes a recommendation that any particular security, portfolio,
transaction, or investment strategy is suitable for any specific person. All viewers agree that under no
circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held
liable for any loss or damage caused by your reliance on information obtained. Read Full Disclaimer.
X
Wait! Don't leave yet.
Want to receive our latest research absolutely free?
⤹
Click the button below for your complimentary copy of Your Early Retirement Portfolio: Dividends Up to 8.7%—Every Month—Forever.
You'll discover the details on 4 stocks and funds that pay you massive dividends as high as 8.7%.