Independent in Mass. to gain wealth management assets from MNB deal

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Independent Bank in Rockland, Mass., has agreed to buy MNB Bancorp in Milford, Mass.

The $8.1 billion-asset Independent said in a press release Tuesday that it will pay $54.2 million in cash and stock for the parent of the $365 million-asset Milford National Bank and Trust. The deal is expected to close in the fourth quarter.

Milford National, founded in 1849, has three branches, $301 million in deposits and $308 million in loans. The bank’s wealth management business has $167 million of assets under administration.

Independent has “many customer relationships in Milford and the surrounding area,” Christopher Oddleifson, the company’s president and CEO, said in the release. “This acquisition is a natural expansion and strengthening of our existing presence.”

Independent said it expects the deal to be accretive to its 2019 earnings, excluding one-time expenses. The deal is expected to be 1.2% dilutive to Independent’s tangible book value. The company said it should incur about $5.3 million in merger-related expenses.

Day Pitney advised Independent, while Keefe, Bruyette & Woods provided a fairness opinion. Sandler O’Neill and Nutter McClennen & Fish advised MNB Bancorp.

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