Cape Cod 5, headquartered in Hyannis, MA, and Fidelity Bank, headquartered in Leominster, MA, have reached an agreement to merge their respective mutual holding companies under one multi-bank holding company, Mutual Bancorp, subject to regulatory approval. Both banks will continue to operate independently as two separate financial institutions maintaining their respective names and brands, while continuing their missions and service to their clients and communities.
This mutually beneficial partnership of two institutions under a multi-bank holding company structure will enhance the capabilities of each organization. It will also allow for collaboration, shared services and pooled resources between the banks to better meet the needs of clients in an evolving industry landscape. Cape Cod 5 holds more than $5.5 billion in assets with 26 locations across the cape, islands and in Southeastern Massachusetts, and Fidelity Bank holds $1.5 billion in assets with 13 banking centers throughout Eastern and Central Massachusetts . Under the agreement, Matt Burke will remain in his role as chairman and CEO of both Mutual Bancorp and Cape Cod 5, and Edward F. Manzi, Jr. will remain in his role as chairman and CEO of Fidelity Bank and serve as vice chairman, chief strategy officer of Mutual Bancorp.
Once finalized, Mutual Bancorp will have combined assets of more than $7 billion and will oversee and govern the strategic operations of both Cape Cod 5 and Fidelity Bank.
“Fidelity Bank and Cape Cod 5 are both long-standing institutions with very similar cultures and values. We both focus on personalized service to consumers and businesses, and a commitment to making a positive impact in our communities,” Matt Burke, chairman and CEO of Cape Cod 5 and Mutual Bancorp, said. “This partnership will strengthen Mutual Bancorp and enable us to utilize shared resources and best practices so that each bank can grow in size, strength and offerings to customers. The combination will allow us to adapt to an ever-changing environment, as well as provide additional growth and development opportunities for our dedicated teams.”
“We are so excited to partner with such a like-minded institution as Cape Cod 5. The cultural fit between our organizations is simply amazing,” Edward F. Manzi, Jr., chairman and CEO of Fidelity Bank, said. “Our unique LifeDesign approach to banking promises we deliver the care and clarity needed so our clients can move forward with confidence. This excellent partnership will allow us to add specialized products and services such as Trust and Wealth Management into our full suite of offerings and continue delivering the benefits of LifeDesign banking to our clients, community, and colleagues for many years to come.”
As part of the partnership agreement, Fidelity Bank will form a $5 million charitable foundation, providing increased and ongoing support to non-profit organizations, causes, and events in their market areas. Cape Cod 5 has an established foundation through which it will continue to support its communities.
Piper Sandler served as the financial advisor on this transaction. Goodwin Procter served as legal counsel to Mutual Bancorp and Nutter McClennen & Fish served as legal counsel to Fidelity Bank.
