VersaBank (TSX: VBNK) (NASDAQ: VBNK), a North American leader in business-to-business digital banking, as well as technology solutions for cybersecurity, today announced it has received formal approval of its proposed acquisition of Minnesota-based Stearns Bank Holdingford (the “Stearns Holdingford Acquisition”), a national OCC-licensed bank, from the U.S. Federal Reserve. The Federal Reserve is one of two U.S. regulatory approvals required for VersaBank to proceed with the Stearns Holdingford Acquisition. VersaBank expects a decision from the other U.S. regulatory authority, the Office of the Comptroller of the Currency (the “OCC”) shortly. Should VersaBank receive a favourable decision from the OCC, it will immediately seek approval of the Stearns Holdingford Acquisition from its Canadian regulator, the Office of the Superintendent of Financial Institutions (OSFI).
“Completion of this acquisition would enable VersaBank to broadly launch our unique and attractive Receivable Purchase Program (RPP) in the United States,” said David Taylor, President and Chief Executive Officer, VersaBank. “For well over a decade, we have proven out our RPP model in Canada and now look forward to the opportunity to enter the world’s largest financing market and further capitalize on the significant operating leverage in our branchless, business-to-business digital banking model.”
