Independent Bank Corp, Meridian Bancorp to merge in $1.1bn deal
Independent Bank Corp., the holding company of Rockland Trust Company, and Meridian Bancorp, the parent company of East Boston Savings Bank, have agreed to merge into an all-stock deal worth around $1.15 billion.
Both the bank holding companies are based in Massachusetts.
As per the terms of the deal, Meridian Bancorp’s shareholders will exchange each of their shares for 0.2750 of Independent Bank Corp’s shares.
Founded in 1848, East Boston Savings Bank has 42 full-service locations, one mobile branch, and three loan centers across the greater Boston metropolitan area.
As of 31 March 2021, Meridian Bancorp had total assets of $6.5 billion, loans of $5.3 billion, and deposits of $5.1 billion.
Richard J. Gavegnano – President and CEO of East Boston Savings Bank said: “This transaction brings together two strong banks with a long and rich history serving and investing in our local communities.
“We are excited to join a like-minded organization dedicated to creating exceptional customer experiences, built on trust and quality service, while also providing an attractive return to our stockholders.”
On the other hand, Rockland Trust caters to businesses and individuals via nearly 100 retail branches, commercial, and residential lending centers, and also investment management offices in eastern Massachusetts, the South Shore, Cape Cod and Islands, Worcester County, and Rhode Island.
The merger will increase Rockland Trust’s assets to nearly $20 billion.
Christopher Oddleifson – President and CEO of Independent Bank Corp and CEO of Rockland Trust said: “This merger is consistent with our strategy of acquiring banks in overlapping and adjacent markets who share our relationship-focused style of banking.
“East Boston Savings Bank has been committed to building meaningful connections with their customers since 1848 and we are excited to work alongside them to deepen those relationships with expanded products, services, and technology.
“At the same time, we look forward to increasing our presence in and around the city and reinforcing our position as the Boston area’s premier community-focused commercial bank.”
The merger, which is subject to regulatory approvals, shareholders’ approvals of both the firms, and customary closing conditions, is anticipated to be wrapped up in Q4 2021.