A New York thrift maneuvering to acquire a neighbor is pressuring it to scrap a new shareholder-rights plan.
This month Douglaston-based New York Bancorp asked North Side Savings Bank, Floral Park, to release its shareholder list. The would-be acquirer said it wanted to discuss with the other shareholders the election of North Side directors or the submission of resolutions for a shareholder vote.
In a March filing with the Federal Deposit Insurance Corp., New York Bancorp, which owns 7.8% of North Side, said it planned to seek permission to buy up to 20% of North Side's stock in a move toward gaining control of the $1.6 billion-asset thrift.
North Side responded about a month later with the rights plan, to be triggered if any party acquired at least 10% of its stock. In that case, all other shareholders could buy additional shares, diluting the would-be acquirer's holding.
Among the resolutions New York Bancorp might now propose, said its chairman, Patrick E. Malloy 3d, is one calling for the North Side board to cancel the rights plan.
"We're very disappointed that they put a rights plan in place," said Mr. Malloy. "We think it's discriminatory, and we don't think it's in the best interests of us as a shareholder or the balance of shareholders. But until we speak with the other shareholders, we don't know if they agree with us or not."
Mr. Malloy said North Side rejected the initial request for the list on the ground that New York Bancorp had not supplied an affidavit confirming that it was indeed a shareholder. New York Bancorp has since refiled its request with North Side, but at press time had yet to receive the list.
For their part, North Side officials said they were waiting for New York to comply with "certain legal requirements."
"We have no interest in having them creep into control of the bank," said Thomas M. O'Brien, North Side's president and chief executive. "Who in their right mind would be supportive of that?"
Mr. Malloy said New York Bancorp officials had not spoken with anyone at North Side since the target instituted the rights plan. "We would look forward to sitting down with Mr. O'Brien or their board at any time to talk about the rights offering or anything else," he said.
