Fulton Financial to Acquire Blue Foundry for $243M in New Jersey Push
All-stock deal expands Fulton's footprint in the lucrative northern New Jersey market and is expected to be immediately accretive to tangible book value.
Fulton Financial Corporation (NASDAQ: FULT) has agreed to acquire Blue Foundry Bancorp (NASDAQ: BLFY) in an all-stock transaction valued at approximately $243 million, a strategic move designed to significantly expand Fulton’s presence in the competitive northern New Jersey banking market.
Under the terms of the deal announced Monday, each share of Blue Foundry common stock will be exchanged for 0.6500 shares of Fulton common stock. Based on Fulton’s closing price on November 21, the transaction values each Blue Foundry share at $11.67. The acquisition is anticipated to be over 5% accretive to Fulton's earnings in the first full year of combined operations and immediately accretive to its tangible book value per share.
Investors reacted positively to the news, with shares of Fulton Financial climbing nearly 4% in Monday trading. Blue Foundry's stock also saw a significant uptick, rising over 3% as the deal price represents a premium over its recent trading levels.
For Fulton, a Lancaster, Pennsylvania-based institution with approximately $32 billion in assets, the acquisition accelerates a key strategic objective. "The expansion in northern New Jersey aligns with our strategy of growing in our local markets and positions us well to drive organic growth across our commercial, consumer, wealth advisory and mortgage businesses,” said Curtis J. Myers, Chairman and CEO of Fulton, in a statement released by GlobeNewswire.
The deal provides Fulton with an entry into a densely populated and affluent region, adding Blue Foundry’s 16 branch locations. The combination aims to pair Blue Foundry’s local market knowledge and customer relationships with Fulton’s larger balance sheet and broader suite of financial products.
Blue Foundry, headquartered in Rutherford, New Jersey, has faced profitability challenges recently, reporting a negative earnings per share over the trailing twelve months and trading at a significant discount to its book value. This valuation likely made it an attractive target for a larger, operationally efficient institution like Fulton.
James D. Nesci, President and CEO of Blue Foundry, framed the merger as a benefit for the bank’s stakeholders. “This partnership allows us to preserve the local relationships and personalized service our customers value, while gaining access to greater resources and providing more solutions and convenience to customers,” Nesci commented.
The transaction, which has been unanimously approved by the boards of both companies, is expected to close in the second quarter of 2026, pending customary regulatory approvals and the approval of Blue Foundry shareholders. As part of its commitment to the new markets, Fulton announced it would make a $1.5 million contribution to its Fulton Forward® Foundation to provide impact grants in New Jersey communities.
This acquisition marks another step in the ongoing consolidation within the regional banking sector, where scale, technology, and a diverse product offering are increasingly critical for competing against national megabanks. By absorbing Blue Foundry, Fulton not only expands its geographic reach but also gains an opportunity to deploy its more extensive commercial and wealth management services to a new customer base, creating a path for future revenue growth.