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Title: Fulton Financial Bolsters Presence in New Jersey with $243M Acquisition of Struggling Blue Foundry Bancorp

Introduction:
In a strategic move to expand its footprint in the lucrative Northern New Jersey market, Fulton Financial, a Pennsylvania-based regional bank, has announced plans to acquire the struggling Blue Foundry Bancorp for $243 million in stock. This acquisition marks Fulton's latest effort to grow its commercial, consumer, wealth advisory, and mortgage businesses, as it seeks to capitalize on the deposit-rich environment in the densely populated region. The deal comes at a critical juncture for Blue Foundry, which has reported over $20 million in losses since its conversion to a publicly traded company in 2021, prompting an activist investor to push for a sale.

Key Takeaways:
- Fulton Financial will acquire Blue Foundry Bancorp, a money-losing New Jersey community bank, for $243 million in stock.
- The combined entity will have over $28 billion in deposits, including $1.8 billion in Northern New Jersey, a strategically important market for Fulton.
- Blue Foundry Bancorp has reported more than $20 million in losses since its 2021 conversion to a public company, leading an activist investor to advocate for a sale.
- Fulton expects the acquisition to have an immediate, positive impact on its financial results, boosting its tangible book value per share by 26 cents in 2026 and 44 cents in 2027.
- The deal aligns with Fulton's strategy of growing in its local markets and positions the bank to drive organic growth across its key business lines.

Detailed Analysis:
The $243 million acquisition of Blue Foundry Bancorp represents a significant strategic move for Fulton Financial, as it seeks to expand its presence in the lucrative Northern New Jersey market. The Lancaster, Pennsylvania-based regional bank currently has a relatively small footprint in the region, which is known for its dense population and sizable deposit base.

By acquiring Blue Foundry, Fulton will gain access to over $1.8 billion in deposits within the Bergen-Essex-Morris marketplace, a region that boasts a combined deposit market of more than $124 billion, according to the Federal Deposit Insurance Corp. This will significantly bolster Fulton's position in the area and provide a solid foundation for the bank to grow its commercial, consumer, wealth advisory, and mortgage businesses.

The deal is expected to have an immediate, positive impact on Fulton's financial results, with the bank's tangible book value per share projected to increase by 26 cents in 2026 and 44 cents in 2027, the first full year of operations for the merged entity. Janney Montgomery Scott analyst Christopher Marinac estimates that the combination will generate an additional $50 million in earnings for Fulton in 2027.

For Blue Foundry, the merger represents an end to its tumultuous journey as a publicly traded bank. The Rutherford, New Jersey-based institution, which previously operated as a depositor-owned mutual thrift, has struggled to turn a profit since its conversion to a stock-traded company in 2021, reporting more than $20 million in losses during that time. This poor financial performance prompted activist investor Larry Seidman to push for the bank's sale, a move that appears to have been welcomed by Blue Foundry's shareholders.

Expert Perspective:
According to Larry Seidman, the activist investor who had advocated for Blue Foundry's sale, the acquisition by Fulton Financial is a positive outcome for the struggling bank. "It's a good bank with good management," Seidman said of Fulton. "Blue Foundry was horrible. They couldn't make any money." Seidman's assessment underscores the challenges Blue Foundry has faced in its transition to a publicly traded entity and the potential benefits of being integrated into a larger, more established financial institution like Fulton.

Forward-looking Conclusion:
The acquisition of Blue Foundry Bancorp represents a strategic move by Fulton Financial to bolster its presence in the lucrative Northern New Jersey market, a region characterized by its dense population and sizable deposit base. By gaining access to over $1.8 billion in deposits within the Bergen-Essex-Morris marketplace, Fulton is well-positioned to drive organic growth across its key business lines, including commercial, consumer, wealth advisory, and mortgage. The deal is expected to have an immediate, positive impact on Fulton's financial results, further strengthening the bank's position in its local markets and positioning