Bank of America wins US approval for LaSalle takeover

WASHINGTON (AFP) - The Federal Reserve on Friday approved Bank of America's purchase of LaSalle Bank, a US unit of the Dutch bank ABN Amro, which will expand the reach of the second largest US banking group.

After the Fed announced its approval, Bank of America said it hopes to close the 21-billion-dollar acquisition in early October, noting that the decision marked the final regulatory approval needed for the transaction.



The action followed a decision by the Netherlands' supreme court on July 13 authorizing ABN Amro to sell LaSalle.

ABN Amro wanted to sell its US unit to BoA without asking for shareholders' approval as part of its agreement to be bought by British bank Barclays.

ABN remains the object of a bidding war with a European banking consortium led by Royal Bank of Scotland offering a rival bid.

The Bank of America purchase will add LaSalle Bank's approximately 17,000 commercial banking clients, 1.4 million retail customers, 411 banking centers and 1,500 teller machines in the Chicago area, Michigan and Indiana, Bank of America said.

"We see a compelling opportunity to enhance and deepen relationships with LaSalle's consumer, commercial, corporate, private banking and wealth management customers," said Bank of America chairman and chief executive Kenneth Lewis.

Sources : Yahoo Finance