Merger Of Equals Valued At Approximately $489 Million
July 9, 2020
Bridge Bancorp Inc., the parent company of BNB Bank, and Dime Community Bancshares Inc., the parent company of Dime Community Bank, entered into a definitive merger agreement. The companies will combine in an all-stock merger of equals transaction, valued at approximately $489 million.
The combined company will have over $11 billion in assets, over $8 billion in total deposits, and 66 branches spanning Montauk to Manhattan. Bridge Bancorp is based in Bridgehampton, while Dime Community is headquartered in Brooklyn. The merger is expected to be completed in the first quarter of 2021.
The new company will operate under the “Dime Community Bancshares, Inc.” name and the combined bank will operate under the “Dime Community Bank” name. Certain retail locations in eastern Long Island will operate under the BNB Bank name for at least one year.
The headquarters of the combined company will be located in Hauppauge, New York, with a corporate office to be located in New York, New York. The combined company will trade under the Dime ticker symbol “DCOM” on The Nasdaq Stock Market
Kenneth J. Mahon, CEO of Dime, said, “Prior to the onset of our commercial bank transformation four years ago, Dime was a monoline, multifamily thrift lender. This merger is the next logical step in Dime’s journey and significantly accelerates our business model transformation.
“Both of us weathered the financial crisis of 2008 with among the lowest loss rates in the entire country. We believe the capital strength of the combined company, Bridge’s high-quality deposit base, and Dime’s historically strong New York City multifamily loan portfolio, will result in the creation of a solid balance sheet. In Bridge, we have aligned ourselves with a company that has a well-constructed commercial bank balance sheet, shares our values, our community focus, and our commitment to building and retaining highly talented staffs.”
Mahon will serve as executive chairman of the combined company. Kevin O’Connor, the current president and CEO of Bridge, will serve as CEO. Stuart “Stu” H. Lubow, the current president of Dime, will serve as president and chief operating officer. John McCaffery, the current chief financial officer of Bridge, will serve as senior executive vice president and chief risk officer. Avinash “Avi” Reddy, the current senior executive vice president and CFO of Dime, will serve as senior executive vice president and CFO.
Read the merger announcement.
A Yale University psychiatry professor calls on banks to make their services accessible to people with mental health issues