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- Category: Current Issue
Putnam Bank
sold to RI
savings bank
PUTNAM — Centreville Bank, a Rhode Island- chartered savings bank, and PB Bancorp, Inc. signed a merger agreement last week for Centreville Bank to acquire PB Bancorp and its wholly owned subsidiary, Putnam Bank. The transaction is valued at $115.5 million and the transaction is anticipated to close in the first or second quarter of 2020.
Harold M. Horvat, president, CEO and chairman of Centreville Bank, said: “Bringing Putnam Bank into the Centreville Bank family makes great strategic sense, business sense, and cultural sense. Our two organizations share many common traits, including being solid fiscally, making decisions that are customer centric, and having an unwavering commitment to the communities that make up our market area. We feel that our entry into eastern Connecticut through Putnam Bank is a ‘win/win’ for both institutions.”
Tom Borner, president and CEO of PB Bancorp and Putnam Bank, said: “This transaction provides excellent value to our shareholders. We are excited to become part of Centreville Bank and we believe that this partnership will be beneficial to our employees, customers and communities. “We look forward to partnering with the talented people of Centreville Bank to combine the best of both of our organizations and assuring that our customers and communities will benefit from the wide range of products and commitment to service provided by Centreville Bank.”
The combined organization will have approximately $1.78 billion in assets and $1.31 billion in deposits. Following completion of the merger, the current branches of Putnam Bank will remain open and will conduct business under the trade name “Putnam Bank, a Division of Centreville Bank.”
Shareholders of PB Bancorp will receive $15.25 in cash per share. The merger consideration represents approximately 145 percent of PB Bancorp’s tangible book value as of June 30, 2019.
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