North Fork Bancorp. has the rumor mill humming that it's moving to buy two other Long Island institutions.
Officials at the Mattituck, N.Y., company confirmed it has filed an application with the Federal Reserve Bank to acquire up to 9.9% of Sunrise Bancorp's stock in the hopes of eventually acquiring the thrift holding company.
The $2.9-billion-asset corporation also has 4.9% of the shares of Riverhead-based Suffolk Bancorp, a $792-million-asset bank holding company. North Fork started buying the shares in September.
If approved, the 9.9% stake in Sunrise would be the most North Fork could hold under Office of Thrift Supervision regulations without acquiring the company.
North Fork currently has 4.9% of Sunrise's shares.
"We really do think it's a good investment for us," said chief financial officer Daniel M. Healy. "In the long term, we'd like to buy it all, but it's a good investment (for now)."
Sunrise president and chief executive Joseph A. Melillo said he was unsure of North Fork's plans, but noted that the Farmingdale-based thrift's board of directors has come out in favor of independence.
"If (North Fork) wants to be a shareholder, I have no objection," Mr. Melillo said. But "the board (of Sunrise) has spoken and they've said they would like to remain independent and we're going to stick with that theme.
North Fork, which is negotiating a merger with $125-million-asset Great Neck Bancorp, has not contacted Sunrise about entering merger talks and has no plans for a hostile takeover, Mr. Healy said.
Rumors are already flying in local newspapers that Suffolk is North Fork's next target, prompting Suffolk officials to issue a statement last week asserting their intention to remain independent.
"We're going to move very cautiously with that," Mr. Healy said.
