Berkshire Hills Bancorp, parent of Berkshire Bank, today announced plans to relocate its corporate headquarters to Boston later this year to support the bank’s continued growth in the Northeast. The bank declined to state where exactly the new headquarters will be located in the city; that announcement is expected in the third quarter of this year.

The company also announced it will acquire Commerce Bancshares Corp. and its subsidiary, Worcester-based Commerce Bank, a $2.2. billion institution with 16 branches in Worcester and Boston. The combined institution will be the largest regional bank in Massachusetts and first regional bank headquartered in Boston in decades, the bank said in a statement.

“Boston will offer our senior executives connectivity with government leaders, regulators and decision makers, and provide the ability to attract broader workforce talent as the bank continues to grow. With the addition of the Commerce team we will be able to leverage the strengths of both banks and capitalize on growth opportunities in the attractive, high-growth Eastern Massachusetts markets,” Michael P. Daly, CEO of Berkshire Bank, said in a statement. “Locating our corporate headquarters in Boston will not take us away from our roots in Berkshire County; we remain committed to all of our employees, customers and communities.”

The proposed acquisition will provide significant scale in Eastern Massachusetts, according to the bank’s statement. The combined franchise will operate its corporate headquarters, four branches and three lending offices in Greater Boston, and an additional 15 branches in and around Worcester, with $3 billion in loans and $2 billion in deposits. On completion of the deal, Berkshire Bank will have 113 branches serving customers across the Northeast.

“As a successful regional bank, having our headquarters in a strong hub for the financial services industry provides economic value and takes advantage of the largest New England market to fuel growth, increase our ability capitalize on our investment in all of our communities,” COO Sean A. Gray said in a statement.

Berkshire’s operational center will remain in downtown Pittsfield and the relocation will not have any impact on its employees, the bank said in a statement. Berkshire Hills Bancorp has $9.3 billion in assets and 97 full service branch offices in Massachusetts, New York, Connecticut, Vermont, New Jersey and Pennsylvania.

Berkshire Hills To Move Corporate HQ To Boston, Acquire Commerce Bank

by Banker & Tradesman time to read: 1 min
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