The takeover price for a troubled Oregon bank has fallen 29% - to less than its shares' market value. But the shareholders are likely to go for the deal anyway, an investment banker says.
Under a September agreement, the price for Northern Bank of Commerce in Portland fell automatically because it put money into its loan-loss reserves, reducing shareholder equity. "I don't see Northern Bank shareholders backing out," said Robert Rogowski, principal at Columbia Financial Advisors, a Seattle investment banking firm. "They don't have any attractive alternatives."