$1.6B Atlantic Union purchase of Sandy Spring Bank clears main hurdles

The parent companies of Atlantic Union Bank and Sandy Spring Bank have cleared the last major hurdles to the Richmond bank’s $1.6 billion all-stock purchase of Sandy Spring, headquartered in Maryland.

The shareholders of Atlantic Union Bankshares and stockholders of Sandy Spring Bancorp approved the merger, first announced in October 2024, in their separate special meetings Wednesday. The companies have also received all required bank regulatory approvals, including approval from the Federal Reserve Bank of Richmond.

The merger is expected to close April 1. Under the terms of the merger agreement, each outstanding share of Sandy Spring common stock will be converted into the right to receive 0.9 shares of Atlantic Union common stock.

“The merger will create a unique franchise by combining the No. 1 regional depository market share bank in Virginia with the No. 1 regional depository market share bank in Maryland,” Atlantic Union President and CEO John C. Asbury said in a statement. “We believe the merger will benefit our customers and markets with an expanded and even more convenient branch network, enhanced product offerings, a robust community benefit plan and access to more capital.”

Atlantic Union Bank had 129 branches across Virginia and parts of Maryland and North Carolina as of Dec. 31, 2024. The bank reported $24.6 billion in total assets and $20.4 billion in deposits.

Sandy Spring Bank has more than 50 locations across Virginia, Maryland and Washington, D.C. The regional bank had $14.1 billion in total assets and $11.7 billion in total deposits as of Dec. 31, 2024.

Sandy Spring also has two wealth management subsidiaries, Rembert Pendleton Jackson and West Financial Services, that will be part of the acquisition and will approximately double Atlantic Union’s wealth management business, increasing its assets under management by more than $6.5 billion.

“We are very excited to reach this important milestone as we work to bring together two great companies. It has been inspiring to see colleagues from both banks design, collaborate and transform together to make this combination a success,” Sandy Spring Chair, President and CEO Daniel J. Schrider said in a statement.

Schrider and two other Sandy Spring board members will join Atlantic Union’s board upon closing of the transaction.