Rockaway-based SB One Bancorp, the holding company for SB One Bank, is acquiring Kenilworth-based Enterprise Bank N.J., the pair jointly announced Wednesday.
Under terms of the deal, Enterprise Bank will merge with and into SB One Bank.
“We are thrilled to be partnering with Donald Haake and Enterprise Bank. This partnership helps us expand our presence in key markets and provides us the ability to add additional talent, which will make all of the difference as we continue to grow,” said Anthony Labozzetta, CEO and president of SB One Bank and SB One Bancorp. “We are confident this partnership will create enhanced value for our combined employees, customers, shareholders and the communities we serve.”
The transaction is priced at $48.2 million, or approximately $13.69 per Enterprise Bank share. Each outstanding share of Enterprise Bank stock will be exchanged for .45 shares of SB One Bank.
The merger, the pair said, will expand SB One Bank’s presence in Union, Middlesex and Essex counties with the addition of four branches in those locations.
The combined company will have more than $1.6 billion in assets, $1.3 billion in gross loans and $1.2 billion in deposits once the merger is completed.
“We are very excited about this opportunity with SB One Bank and SB One Bancorp. We firmly believe that this partnership will benefit both our shareholders, through ownership in a growing financial institution with shares that trade on a national exchange, and our customers through the enhanced financial products and services of the combined entity,” said Donald Haake, CEO and president of Enterprise Bank.
Upon the closing, Haake will become senior executive vice president, regional banking of SB One Bank.
Also, two members of Enterprise’s board of directors will join SB One Bancorp and SB One Bank’s board of directors.
Keefe, Bruyette & Woods Inc. served as financial advisor to SB One Bancorp and Hogan Lovells US LLP served as its legal counsel. FinPro Capital Advisors Inc. served as financial advisor to Enterprise Bank and Windels Marx Lane & Mittendorf, LLP served as its legal counsel.
