Boston Banks Berkshire and Brookline to Merge in $1.1 Billion Deal

In a strategic move that will reshape the Northeast banking landscape, Boston-based regional banks Berkshire Hills Bancorp (NYSE: BHLB) and Brookline Bancorp (NASDAQ: BRKL) have announced plans to merge in an all-stock transaction valued at approximately $1.1 billion. The deal, expected to close in the second half of 2025, will create a premier banking franchise with $24 billion in assets, 148 branch offices, and a longstanding history of serving clients and communities.

The merger of equals will combine two highly compatible cultures, deep community ties, and operating philosophies. Berkshire shareholders will receive 0.42 shares of Berkshire for each share of Brookline they own, with Berkshire's dividend expected to be increased to have a neutral impact on Brookline shareholders. The combined company will have top 10 deposit market share in 14 of 19 pro forma Metropolitan Statistical Areas (MSAs), further strengthening its competitive position.

Berkshire Hills Bancorp, Inc. President and CEO Nitin J. Mhatre expressed his enthusiasm for the transformational milestone, stating, "Today marks a transformational milestone in the history of two storied institutions with a strong commitment to serving their clients and communities. The combined organization will be in an even stronger position to deliver exceptional client experience and create greater value for shareholders."

Brookline Bancorp, Inc. Chairman and CEO Paul A. Perrault echoed Mhatre's sentiments, commenting, "This transaction presents an opportunity to bring together two historic franchises in the Northeast market. By bringing together two complementary cultures and geographic footprints with shared values and client focus, we will be better positioned to serve our customers, employees, communities, and shareholders."

The strategic benefits of the merger are numerous. The increased scale and capabilities will drive growth and improve competitive positioning, with significant economies of scale enabling investments in clients, employees, and markets. The combined company will have the scale to enhance lending capacity and capitalize on meaningful growth opportunities through business diversification.

The merger will also enhance operational performance, risk management, and shareholder value. The combined company is targeted to deliver top-tier peer operating and return metrics, with a management team consisting of seasoned industry veterans from both banks. The distinct, attractive, complementary geographic footprints across five states will allow the bank to deepen its reach and increase market share in the Northeast.



In conclusion, the merger of Berkshire Hills Bancorp and Brookline Bancorp is a strategic move that will create a premier banking franchise in the Northeast. With increased scale, capabilities, and a highly compatible culture, the combined company is well-positioned to deliver exceptional client experience, create greater value for shareholders, and strengthen its competitive position in the region.