Cowlitz Bancorp of Longview, Wash., said its board unanimously rejected an unsolicited offer from the Bellevue private-equity firm Crescent Capital VI LLC to buy the company.
Crescent, which owns a 9.8% stake in the $490 million-asset Cowlitz, offered in July to pay $15 each for the outstanding shares that it does not already own; the bid was worth about $74 million.
In rejecting Crescent's bid, Cowlitz's board said Wednesday that it was not in the best interest of shareholders to pursue a sale at this time.
Cowlitz also said that its chairman, Phill Rowley, sent Crescent a letter Wednesday, stating, "Amongst numerous other concerns, the board views your $15 per share offer as significantly inadequate from a financial point of view."
The board also approved a plan authorizing the company to repurchase up to 500,000 of its shares in the open market or in private transactions, in order "to focus on the growth and profitability of the company, without unnecessary distraction," Richard J. Fitzpatrick, Cowlitz's president and chief executive, said in a press release.
By late Thursday shares of Cowlitz had risen 0.46% from Wednesday's close, to $13.11.
