Blue Foundry Surges 40.03% on Transformative Fulton Merger Deal

Blue Foundry surged 40.0253% in pre-market trading on Nov. 25, 2025, as investors reacted to a transformative acquisition deal. The sharp price jump followed a definitive agreement between Blue Foundry and Fulton Financial to merge in an all-stock transaction valued at $243 million.

The merger terms stipulate that each Blue Foundry share will convert to 0.6500 shares of Fulton stock, valuing the company at $11.67 per share based on Fulton’s Nov. 21 closing price of $17.96. The deal aims to accelerate Fulton’s expansion in northern New Jersey, with projections showing over 5% accretion to first-year earnings and immediate boosts to tangible book value. Both boards have approved the transaction, pending regulatory and shareholder approvals, with a Q2 2026 closing expected.

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The acquisition aligns with strategic growth objectives for both institutions. Fulton’s CEO emphasized the transaction’s potential to strengthen organic growth across commercial, consumer, and wealth advisory segments. Blue Foundry’s stockholder value proposition is further reinforced by the deal’s structure, which avoids cash outflows and maintains regulatory capital neutrality. The merger also includes a $1.5 million community investment to the Fulton Forward Foundation.

Backtest Assumption
A hypothetical strategy could focus on event-driven momentum following the merger announcement. Historical data suggests that all-stock deals with clear accretion metrics often see extended price action beyond initial announcements. A trailing stop-loss at 1.5x the pre-merger 52-week high, combined with a target at 1.2x the implied share price of $11.67, could capture potential upside while managing risk. This approach mirrors typical merger arbitrage frameworks, adjusted for the unique valuation dynamics of this transaction.