In Brief: Lakeland of N.J. to Buy Newton for $99M

Lakeland Bancorp Inc. of Oak Ridge, N.J., announced Monday that it would acquire the $320 million-asset Newton Financial Corp. for $99 million in cash and stock.

The deal, the second announced by the $1.5 billion-asset Lakeland this year, would increase its number of branches to nine, including two in Warren County, where it currently has none.

Roger Bosma, Lakeland's president and chief executive officer, said that it was interested in Newton because it has an "excellent franchise" in two of northern New Jersey's most affluent counties, Wayne and Sussex.

The parent of Lakeland Bank also found Newton attractive because it has a trust department and Lakeland does not. Newton Trust Co. would keep its name and charter for two years and then merge into Lakeland Bank.

The deal, which would be worth 2.9 times Newton's book value, is expected to close in the second quarter.

In August, Lakeland completed a $34 million deal for the $140 million CSB Financial Corp. in Teaneck.

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