Banking

Korean American bank in Pennsylvania gets 2 acquisition uses

Noah Bank in Elkins Park, Pennsylvania, is weighing contending takeout deals.

The $317 million-asset bank stated Thursday that it had actually gotten a buyout deal from NMB Financial Corp., the $541 million-asset moms and dad of New Millennium Bank in Fort Lee, New Jersey.

Both the proposed purchaser and possible seller concentrate on Korean American neighborhoods.

The independently held Noah Bank stated it had actually been provided to $6.95 per share. NMB approximated that Noah had 4.235 million shares impressive.

However, the offer undergoes “a number of potential purchase price adjustments” that “make it impossible” to “determine at this time the final proposed purchase price,” Noah Bank stated in a news release.

Earlier this month, Noah Bank reached a stock purchase arrangement with a personal financier group valued at $10 million. That offer would provide the financier group control of the bank.

Noah “intends to entertain discussions with NMB regarding questions it has with respect to the NMB proposal as well as to offer NMB the opportunity to conduct due diligence on Noah Bank and Noah Bank to similarly conduct due diligence on NMB and its proposal,” Noah stated in the release. “There can be no assurance that such discussions or diligence, to the extent they occur, will result in any definitive transaction between NMB and Noah Bank.”

NMB stated in its own release the handle personal financiers would come “at a significant discount to Noah’s existing book value per share,” and included, “Noah’s existing shareholders could realize a significant dilution to their book value per share at the same time that majority control is transferred to the private investor group.

“Alternatively, the combination of NMB and Noah would create a significant Korean-American banking franchise on the East Coast and is anticipated to provide significant cash value to Noah’s existing shareholders,” NMB stated.



Gabriel

A news media journalist always on the go, I've been published in major publications including VICE, The Atlantic, and TIME.

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