KeyBank strengthens upstate New York franchise
Clients KeyBank National Association
Jones Day is advising KeyBank National Association, the lead subsidiary of KeyCorp, in its acquisition of 37 bank branches with $2.4 billion in deposits currently owned by HSBC Bank USA, N.A., in Buffalo and Rochester, New York. The branches are being sold by First Niagara Bank, N.A. to KeyBank, in connection with First Niagara's acquisition of HSBC's upstate New York banking franchise.
Under the terms of its assignment, purchase and assumption agreement with First Niagara, KeyBank will pay a 4.5% premium on deposits, or approximately $110 million based on current deposit balances. The transaction is expected to close late in the second quarter of 2012, subject to customary closing conditions, including regulatory approval.
In addition to M&A and regulatory representation, Jones Day is providing employee benefits, broker-dealer and tax advice regarding this transaction.