Arrow Financial Corporation and Adirondack Bancorp, Inc. Receive OCC Approval for Merger
Rhea-AI Summary
Arrow Financial (NASDAQGS: AROW) and Adirondack Bancorp received OCC approval for their previously announced merger. Closing is expected on or around July 1, 2026, subject to Adirondack shareholder approval, additional regulatory approvals and customary conditions.
Post‑integration in Q4 2026, the combined bank will operate under the Arrow brand with projected $5.4 billion in assets, $4.8 billion in deposits and $4.1 billion in gross loans, and an expanded footprint into the Adirondack region and Mohawk Valley.
Positive
- OCC approval obtained for Arrow–Adirondack merger
- Expected closing on or around July 1, 2026
- Projected combined assets of approximately $5.4 billion
- Projected deposits of approximately $4.8 billion
- Projected gross loans of approximately $4.1 billion
- Geographic expansion into Adirondack region and Mohawk Valley
Negative
- Closing still contingent on Adirondack shareholder approval
- Further approvals or waivers required from New York DFS and Federal Reserve Bank of New York
- Systems integration not expected to be completed until Q4 2026
News Market Reaction – AROW
In the Jun 2 session, AROW gained 1.65%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Previous Acquisition Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Feb 26 | Adirondack acquisition deal | Positive | -0.4% | Announced Adirondack acquisition with pro forma balance sheet and accretion forecasts. |
| Aug 06 | Branch acquisition | Positive | +0.0% | Completed Whitehall branch purchase, adding deposits, loans, and another Washington County branch. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Acquisition-related headlines have seen muted price responses, with an average move of -0.17% and one slight divergence into negative territory despite strategic framing.
Recent history shows Arrow using acquisitions to expand its footprint. A February 2026 announcement detailed the Adirondack Bancorp deal with pro forma $5.4B in assets, $4.8B in deposits, and $4.1B in gross loans, plus projected EPS accretion and IRR. An earlier 2024 branch acquisition modestly expanded presence in Washington County. Today’s OCC approval advances the Adirondack transaction toward closing, reinforcing a multi-year strategy of bolt-on growth.
Key Terms
Office of the Comptroller of the Currency regulatory
New York State Department of Financial Services regulatory
Federal Reserve Bank of New York regulatory
AI-generated analysis. How Rhea-AI works. Not financial advice.
Closing of the transaction is expected to occur on or around July 1, 2026, pending
David S. DeMarco, Arrow President and CEO, stated,"We are pleased to have received OCC approval to combine two highly complementary, client-focused banks. By leveraging Arrow's commercial expertise and infrastructure, we are well-positioned to serve
Rocco F. Arcuri Sr., Adirondack President and CEO stated, "Following months of strategic and collaborative planning, our teams are ready to execute a seamless integration. I am thrilled to partner with an organization that values client service in the same way we do, and I look forward to ensuring a smooth transition for our clients."
Upon completion of the transaction and systems integration in the fourth quarter of 2026, the combined company will operate under the Arrow brand, and is projected to have approximately
About Arrow Financial Corporation
Arrow Financial Corporation is a bank holding company headquartered in
About Adirondack Bancorp, Inc.
Adirondack Bancorp, Inc, is the bank holding company for Adirondack Bank. Adirondack Bank is a New York state-chartered financial institution headquartered in Utica, New York. Adirondack Bank now serves Upstate New York, from the historic Mohawk Valley to the Canadian border. Visit adirondackbank.com for more information.
Forward-Looking Statements
This news release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including with respect to (or based on) the beliefs, goals, intentions, and expectations of Arrow and Adirondack regarding the proposed transaction, revenues, earnings, earnings per share, loan production, asset quality, and capital levels, among other matters; our estimates of future costs and benefits of the actions we may take; our assessments of expected losses on loans; our assessments of interest rate and other market risks; our ability to achieve our financial and other strategic goals; the expected cost savings, synergies, returns and other anticipated benefits from the proposed transaction; and other statements that are not historical facts.
Forward–looking statements are typically identified by such words as "believe," "expect," "anticipate," "intend," "outlook," "estimate," "forecast," "project," "will," "should," and other similar words and expressions, and are subject to numerous assumptions, risks, and uncertainties, which change over time. Forward-looking statements include, without limitation, those relating to the terms, timing and closing of the proposed transaction. Additionally, forward-looking statements speak only as of the date they are made; Arrow and Adirondack do not assume any duty, and do not undertake, to update such forward-looking statements, whether written or oral, that may be made from time to time, whether as a result of new information, future events, or otherwise. Furthermore, because forward-looking statements are subject to assumptions and uncertainties, actual results or future events could differ, possibly materially, from those indicated in or implied by such forward-looking statements as a result of a variety of factors, many of which are beyond the control of Arrow and Adirondack. Such statements are based upon the current beliefs and expectations of the management of Adirondack and Arrow and are subject to significant risks and uncertainties outside of the control of the parties. Caution should be exercised against placing undue reliance on forward-looking statements.
Additional Information and Where to Find It
In connection with the proposed transaction, Arrow has filed a registration statement on Form S-4 with the U.S. Securities and Exchange Commission (the "SEC") to register the shares of Arrow common stock to be issued in connection with the proposed transaction. The registration statement includes a proxy statement of Adirondack, which also constitutes a prospectus of Arrow, that has been sent to shareholders of Adirondack seeking certain approvals related to the proposed transaction. Arrow may file with the SEC other relevant documents concerning the proposed transaction. This communication does not constitute an offer to sell or a solicitation of an offer to buy any securities or a solicitation of any vote or approval, nor shall there be any offer or sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of the Securities Act of 1933, as amended. INVESTORS AND SHAREHOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT ON FORM S-4, THE PROXY STATEMENT/PROSPECTUS INCLUDED WITHIN THE REGISTRATION STATEMENT ON FORM S-4 AND ANY OTHER RELEVANT DOCUMENTS FILED OR TO BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT ARROW, ADIRONDACK, AND THE PROPOSED TRANSACTION. Investors and shareholders will be able to obtain a free copy of the registration statement, including the proxy statement/prospectus, as well as other relevant documents filed with the SEC containing information about Arrow, without charge, at the SEC's website www.sec.gov. Copies of documents filed with the SEC by Arrow will be made available free of charge in the "Documents" section of Arrow's website, www.arrowfinancial.com, under the heading "Filings." The information on Arrow's website is not, and shall not be deemed to be, a part of this communication or incorporated into other filings Arrow makes with the SEC.
Participants in Solicitation
Adirondack, Arrow, and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from shareholders of Adirondack in respect of the proposed transaction under the rules of the SEC. Information regarding Arrow's directors and executive officers is available in its definitive proxy statement, which was filed with the SEC on April 23, 2026 and certain other documents filed by Arrow with the SEC. Other information regarding the participants in the solicitation of proxies in respect of the proposed transaction and a description of their direct and indirect interests, by security holdings or otherwise, is contained in the proxy statement/prospectus and other relevant materials filed or to be filed with the SEC.
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SOURCE Arrow Financial Corporation