New York Community Bancorp, through its subsidiary Flagstar Bank, has acquired certain assets and assumed certain liabilities of Signature Bridge Bank from the Federal Deposit Insurance Corporation, as Receiver. Under the terms of the deal, which has already closed, Flagstar Bank acquired $38 billion of Signature Bridge’s assets, as well as its wealth management and broker-dealer businesses, in addition to assuming $36 billion in liabilities.
The transaction follows Signature Bank’s collapse, making it the third-largest bank failure in U.S. history. The transaction, among other things, significantly accelerates Flagstar Bank’s transformation to a high-performing commercial bank.
S&C also advised New York Community Bancorp on its purchase of Flagstar Bank, which closed in December 2022 and made the bank the 24th-largest regional bank in the country at the time.
The S&C team advising New York Community Bancorp and Flagstar Bank includes Mark Menting, Jared Fishman, Irene Kim and Nati Kim. David Spitzer and Isaac Wheeler are advising on tax matters. Matthew Friestedt and Rebecca Rabinowitz are advising on executive compensation matters.