We are advising Bank Leumi on the transaction

Davis Polk is advising Bank Leumi Le-Israel Corporation, operating as Bank Leumi USA, and its parent company, Bank Leumi Le-Israel B.M. on the sale of Bank Leumi’s U.S. operations to Valley National Bancorp. The transaction is valued at an estimated $1.2 billion, inclusive of the value of options, based on Valley’s closing stock price on September 22, 2021. Upon completion of the acquisition, Bank Leumi Le-Israel B.M. will own over 14% of Valley’s common stock. Completion of the sale is subject to regulatory approvals and customary closing conditions.

Bank Leumi Le-Israel B.M., headquartered in Tel Aviv, is the leading banking corporation in Israel. It is the parent company of Bank Leumi Le-Israel Corporation, a U.S. holding company for Bank Leumi USA, a New York state chartered bank offering a full range of commercial loan and deposit products. Valley National Bancorp is the New Jersey-based bank holding company for Valley National Bank, a regional bank established in 1927 with approximately $41 billion in assets as of June 30, 2021. Valley National Bank services its customers through more than 226 branches in New Jersey, New York, Florida and Alabama.

The Davis Polk financial institutions M&A team includes partners Luigi L. De Ghenghi, Marc O. Williams and Eric McLaughlin and associate Michael Senders. The executive compensation team includes partner Veronica M. Wissel and associate Melissa Esposito. The tax team includes partner Ethan R. Goldman and associate Elina Khodorkovsky. Partner Gregory S. Rowland is providing investment management advice. Partner Shane Tintle is providing capital markets advice. All members of the Davis Polk team are based in the New York office.