Valley National agrees to buy Bluevine for 340 million dollars
Valley National Bancorp agreed to buy the small-business banking platform Bluevine for approximately 340 million dollars in cash and shares. Bluevine brings digital deposits and about 175,000 active small-business customers. Valley says the deal would broaden its funding base and customer reach; completion is expected in early 2027, subject to regulatory approvals.
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Valley signs an agreement to buy Bluevine
US lender Valley National Bancorp and Bluevine, a digital banking platform for small businesses, announced an acquisition agreement on September 28. The proposed consideration is approximately 340 million dollars, about 75 per cent in cash and 25 per cent in Valley shares. The companies expect to complete the deal in early 2027, subject to regulatory approvals and customary closing conditions. The agreement is not a completed acquisition or a realised gain.[1], [2]
Digital deposits would broaden Valley’s funding base
Bluevine has gathered about 2.1 billion dollars in deposits through digital channels and serves approximately 175,000 active small-business customers. Valley expects those deposits to diversify its funding and expand its small-business customer base. Bluevine’s checking, payments, invoicing and lending tools would be combined with Valley’s branch network and commercial services. About 99 per cent of Bluevine’s deposits currently come from customers who do not borrow.[1]
Earnings projections depend on completion
Including expected synergies, Valley estimates the deal would add about 8 per cent to its projected 2028 earnings per share. It forecasts about 5 per cent tangible book value dilution at closing and an earn-back period of roughly three years. These are company projections, not realised results. If the deal closes, Bluevine co-founder and chief executive Eyal Lifshitz will lead Valley’s small-business banking operation.[1]
