Camden National Bank yesterday signed an agreement to acquire 15 Bank of America branch locations throughout Maine. According to American Banker, Camden National will pay a 3.7% premium on the locations' deposits, which equals a total price of about $15.3 million.
Branches to be acquired include locations in Auburn, Augusta, Bangor, Brewer, Gardiner, Lewiston, Newport, Old Town, Rockland and Waterville, according to a press release from the bank. The bank, a subsidiary of Camden National Corp., also plans to reopen an Orono branch Bank of America shuttered in December. The move will expand Camden National's total branches to 53 and give it the largest market share of deposits of all Maine-based independent community banks, the bank said. Camden National will gain roughly $414 million of deposits, giving it the third-largest deposit share in the state behind TD Bank and KeyBank, according to American Banker. Camden National expects to have $2.7 billion in assets and $2 billion in deposits following the acquisition, should it receive regulatory approval. It's expected to close by the end of the third quarter.
"These branches will enhance Camden National's presence in the Bangor and Lewiston/Auburn markets while accelerating our expansion strategy in the Augusta market," said Gregory Dufour, president and CEO of Camden National, in the bank's release.
Dufour said the bank is working with BofA to transition new customers and employees, and said the bank is still assessing staffing levels. Camden National Corp. has 410 full-time employees, and Camden National Bank had 241 full-time employees as of Dec. 31, 2011, according to its FDIC report.
Last September, Bank of America announced an effort to cut $5 billion in costs over several years, which includes laying off 30,000 people and selling or closing 10% of its branches. Earlier this year, it announced it would close its Orono call center in October, putting 200 people out of work.