A New Jersey institution, Valley National Bank, announced Tuesday that it had received regulatory approval to complete the purchase of State Bank of Long Island, which is based in Jericho.
Initial word of the pending sale of the bank's parent company, State Bancorp, came in April, and Valley National said then it expected to get the approval of its shareholders and regulators.
The Wayne, N.J. -based Valley National said it had gotten the go-ahead to complete the purchase from the Federal Reserve Bank of New York and the U.S. Office of the Controller of the Currency, an arm of the U.S. Treasury Department that charters, regulates and supervises national banks.
The merger is expected to close in the fourth quarter. Valley says the combined bank will have $16 billion in assets and 215 branches in 16 counties in New York and in north and central New Jersey. State Bank of Long Island, which has 17 branches in Nassau, Suffolk, Queens and Manhattan, is the major unit of State Bancorp.
State Bancorp is scheduled to report second quarter earnings Wednesday.
It earned $11.4 million last year, compared with a loss of $14.8 million in 2009, a turnaround that executives credited to paying off $10 million in debt and selling off $55 million of bad residential construction loans.
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