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Capital One to acquire Chevy Chase Bank

Friday 5 December 2008 16:20 CET | News

US bank holding company Capital One Financial (COF) is to acquire financial service provider Chevy Chase Bank for USD 520 million in cash and stock in a bid to increase its deposit base and obtain additional funding for its operations during the current credit crisis.

Chevy Chase Bank operates in Maryland, Virginia, and Washington, D.C., and owns deposits worth USD 11 billion. Capital One, which recently received a USD 3.56 billion funds injection via the governments bank investment program, has deposits USD worth 98.9 billion. COF’s acquisition of Chevy Chase Bank is the latest such move on behalf of the bank holding company, which started up as a credit card lender and seeks to become a full-service bank. Among the regional banks previously acquired by Capital One are Hibernia, which operated in the New Orleans area, and North Fork Bank which operated in New York and New Jersey.


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Categories: Payments & Commerce
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Payments & Commerce