MADISON, Wis. - Anchor BanCorp Wisconsin Inc. announced Friday that it had agreed to buy Ledger Capital Corp. of Glendale for $42.5 million in a stock and cash.
Anchor is the $3.13 billion-asset holding company of Anchor Federal Savings Bank. Ledger Capital is the corporate parent of $507 million-asset Ledger Bank, which would be merged into Anchor Federal Savings, and its five offices would take that name. The deal is expected to close in the fourth quarter.
Douglas J. Timmerman, Anchor's president, said the acquisition would add four to five cents to its per-share earnings starting in its 2003 fiscal year, which will begin April 1, 2002. Anchor reported per-share earnings 31 cents for its 2001 fiscal year, which ended March 31.
Both companies agreed they would pay a $1 million penalty to the other if either wrongfully terminates the merger.
In midday trading Monday, Anchor's stock price fell nearly 5% from Friday's close, to $14.06 a share, while Ledger's rose about 5%, to $14.60.