Atlantic Union Bankshares and Sandy Spring Bancorp have received regulatory approval from the Federal Reserve Bank of Richmond to move forward with their planned merger. The merger, first announced in 2024, involves Sandy Spring merging with and into Atlantic Union in an all-stock transaction. Following the corporate merger, Sandy Spring Bank, a wholly owned subsidiary of Sandy Spring Bancorp, will integrate into Atlantic Union Bank, the subsidiary of Atlantic Union Bankshares.
The Federal Reserve’s decision, issued under delegated authority, is a significant step forward in the merger process. However, the deal remains subject to approval from the Virginia Bureau of Financial Institutions, the Maryland Office of Financial Regulation, and the shareholders of both Atlantic Union and Sandy Spring. Additionally, other customary closing conditions must be met before the transaction is finalized. Special meetings of shareholders for both entities are scheduled for Feb. 5, 2025, to secure necessary endorsements.
Expanding Footprints and Services
Atlantic Union Bankshares, headquartered in Richmond, VA, operates 129 branches and 148 ATMs across Virginia, Maryland and North Carolina. The company’s financial services subsidiaries include Atlantic Union Equipment Finance, Atlantic Union Financial Consultants and Union Insurance Group, expanding its offerings beyond traditional banking to equipment financing, brokerage services and insurance products.
Sandy Spring Bancorp, based in Olney, MD, is a prominent community bank in the Greater Washington, D.C., region. With over 50 locations, Sandy Spring Bank delivers a wide array of commercial and retail banking services alongside wealth management offerings through its subsidiaries, Rembert Pendleton Jackson and West Financial Services.
Industry Implications
This merger, once completed, will consolidate two strong regional players, bolstering their presence in key Mid-Atlantic markets. The combination aims to leverage both institutions’ strengths to deliver a broader range of financial products and services while enhancing operational efficiency.
Monitor will continue to track developments in this merger, including shareholder meeting outcomes and regulatory milestones, as these institutions work toward closing the deal.
