If and when First Niagara Financial closes its deal to acquire NewAlliance Bancshares this spring, depositors can expect the transition to occur at break-neck speed.
First Niagara CEO and president John R. Koelmel said once the deal is finalized it will take only about 48 hours for new signs and marketing materials to be in place. Koelmel said the bank will likely finalize the deal on a Friday, and by Monday morning, NewAlliance’s orange and blue brand will disappear from the state, giving way to the First Niagara brand.
“It will happen very quickly,” Koelmel told HBJ Today this week.
Koelmel has appeared at public hearings in Connecticut this week defending his company’s proposed $1.5 billion acquisition of New Alliance Bancshares. He said the merger, which is waiting regulatory approval, will create a banking “powerhouse” that will be able to provide more products and services and increased lending to the state.
Various political and social leaders have raised concerns about the deal, saying First Niagara has a poor track record when it comes to lending to low- to moderate-income consumers, as well as to small businesses.
In his prepared remarks, at Manchester Community College on Tuesday, Koelmel took both issues head-on saying the bank has plans to make $750 million in small business loans and $250 million in new mortgage originations, including a $30 million pool with special rates and reduced fees.
The bank also plans to make $100 million in community development loans over the next five years, Koelmel said.
First Niagara is based in Buffalo, N.Y. The merger with New Haven-based NewAlliance Bancshares would  create one of the 25 largest banks in the country, with $30 billion in assets and 320 branches serving four states in the Northeast.
