OCC Conditionally Approves Flagstar Bank, N.A. to Purchase and Assume Deposits of Signature Bridge Bank, N.A.

The Office of the Comptroller of the Currency (OCC) has published a press statement to inform that it has approved the acquisition of nearly all deposits and liabilities of Signature Bridge Bank, N.A., New York by Flagstar Bank, N.A., New York, subject to certain conditions. Specifically, in a corresponding approval letter, the OCC informs of the approval of the purchase of loan portfolios worth $12.9 billion (assets) and the purchase of deposits worth $34 billion (liabilities) provided that
– Flagstar Bank, N.A. will dedicate sufficient resources to the acquired assets and liabilities and
– the company will not pay any dividends unless the OCC has issued a no-objection letter to such payment.
The Federal Deposit Insurance Corporation (FDIC) had taken over all previous assets and liabilities of the Signature Bank into the newly created Signature Bridge Bank, N.A. and had sought bids on the acquisition.