BETHLEHEM, Pa. — By the end of the year, Community Bank will have 12 branches in the Lehigh Valley.
Community Bank will assume about $600 million in deposits and $33 million in branch-related loans from Santander Bank for seven branch assets and liabilities in the area for an 8% premium.
That breaks down to about an $81 million deal.
In a late June announcement, Community Bank said the move has put it in a Top 5 market position.
Community Bank Chief Executive Officer Dimita Karaianov in a statement said the acquisition accelerates the financial institution's growth strategy and ability to serve more customers.
"We’ve long recognized the value of this community, and these branches were a natural fit as we continue to expand and deepen our roots in Northeastern Pennsylvania," Karaivanov said.
"We look forward to welcoming Santander’s customers and talented team to Community Bank and are committed to ensuring a smooth and simple transition.”
Amid that change of hands, Community Bank said all branches will remain open and offer employees continued employment.
The acquired Santander Bank branches are:
- 1701 Chew St., Allentown
- 924 Eaton Ave., Bethlehem
- 3120 William Penn Highway, Easton
- 100 N. 3rd St., Easton
- 1216 Chestnut St., Emmaus
- 1240 Third St., Whitehall Township
Santander Bank in late 2024 launched Openbank, which offers "a competitive high yield savings product," through its mobile app and online banking website — the first physical Openbank location exists outside of Pennsylvania.
Openbank accounts will not be included in the acquisition, the company said in a release.
Santander Bank said the transition of its Lehigh Valley branches to Community Bank aligns with its national transformation to a "digital-first bank with branches."
"As we grow our presence nationally, we are making refinements to our physical presence to reposition and optimize our footprint for the future," said Swati Bhatia, head of retail banking and Transformation for Santander Bank and Chief Executive Officer for Openbank in the United States.
"We are investing in our branches, introducing new state-of-the-art formats such as our new flagship model. 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."
In a release, Bhatia also commended Community Bank.
"Community Bank is a highly rated bank, known for its top-caliber customer service,” he said.
“We enter into this agreement knowing that our valued, long-standing customers will be well taken care of, as we continue our transformation in the United States.”
