By Rachel Louise Ensign 

BB&T Corp. got regulatory approval to buy Susquehanna Bancshares Inc., marking the bank's second deal to get a green light in as many months.

The Federal Reserve on Tuesday said it approved the Winston-Salem, N.C.-based bank's application to buy Susquehanna. The deal, for about $2.5 billion in cash and stock, was announced last November and will expand BB&T's footprint in the mid-Atlantic region. The bank said the Federal Deposit Insurance Corporation and state regulators have also approved its purchase of the Lititz, Pa.-based bank.

Just last month, BB&T got permission from regulators to buy Bank of Kentucky Financial Corp.

The approvals come as other banks have struggled to get regulators to sign off on deals. Kelly King, chief executive and chairman of BB&T, said in an interview last month that the bank could announce more deals after the Susquehanna purchase closes. "We're optimistic that there will be some other opportunities for BB&T to combine with good institutions," Mr. King said.

Susquehanna has $19 billion in assets and more than 240 branches in Pennsylvania, Maryland, New Jersey and West Virginia. BB&T said the acquisition is expected to close on Aug. 1 and bank systems will be converted in the fourth quarter.

"We are very pleased to receive this approval and excited to move forward with the merger," Mr. King said in a Tuesday press release.

Write to Rachel Louise Ensign at rachel.ensign@wsj.com

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