Community Financial System in Syracuse, N.Y., has agreed to buy seven branches in the Allentown, Pa., area from Santander Bank.
Santander said in a press release that the sale includes $600 million in deposits and $33 million in branch-related loans. Community Financial will pay an 8% deposit premium.
The deal is expected to close in the fourth quarter.
“As we grow our presence nationally, we are making refinements to our physical presence to reposition and optimize our footprint for the future,” Swati Bhatia, Santander’s head of retail banking and transformation, said in the release.
“We are investing in our branches, introducing new state-of-the art formats such as our new flagship model,” added Bhatia, who is also CEO of the Openbank digital bank. “The investments we are making in both digital and physical will help ensure Santander is best positioned to deliver for our customers for years to come.”