Fed Approves BB&T Purchase of Susquehanna Bancshares

By Rachel Louise Ensign 

BB&T Corp. got a key regulatory approval to buy Susquehanna Bancshares Inc., marking the bank's second deal to get a green light in as many months.

The Federal Reserve on Tuesday said it approved the Winston-Salem, N.C.-based bank's application to buy Susquehanna. The deal, for about $2.5 billion in cash and stock, was announced last November and will expand BB&T's footprint in the mid-Atlantic region.

In June, BB&T said it received approval from regulators to buy Bank of Kentucky Financial Corp.

The approvals come as other banks have struggled to get regulatory approval for deals. Kelly King, chief executive and chairman of BB&T, said in an interview last month that the bank could announce more deals after the Susquehanna purchase closes.

"We're optimistic that there will be some other opportunities for BB&T to combine with good institutions," Mr. King said.

The Federal Deposit Insurance Corporation approved the Susquehanna purchase in April. BB&T didn't immediately return a request for comment.

Write to Rachel Louise Ensign at [e-mail]

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