Salisbury Bancorp (SAL) in Lakeville, Conn., has agreed to buy Riverside Bank in Poughkeepsie, N.Y.
Salisbury would pay roughly $28 million in stock for the $221 million-asset Riverside, the companies said in a joint Wednesday press release. Riverside shareholders would receive 1.35 shares of Salisbury common stock for each share of Riverside common stock, giving them a 37% stake in the combined company. The deal is expected to close in the third or fourth quarter.
Salisbury would have roughly $808 million of assets, $630 million of loans and $682 million of deposits after the merger is complete. The four Riverside branches it is inheriting in the deal would give it a total of 13 branches across four counties in Connecticut, Massachusetts and New York.
Riverside's president and chief executive, John Davies, will serve as president of Salisbury's New York region after the merger. Five Riverside board members will join Salisbury's board.
The deal would be Salisbury's second this year. The company agreed to buy a branch from Union Savings Bank in Danbury, Conn., in January.
Sterne, Agee & Leach served as financial advisor to Salisbury. Cranmore, FitzGerald & Meaney acted as legal counsel to Salisbury. Keefe, Bruyette & Woods was financial advisor to Riverside and Windels Marx Lane & Mittendorf served as legal counsel.