At special meetings of their respective shareholders held on Friday, shareholders of Shore Bancshares, the holding company of Shore United Bank, and Severn Bancorp, the holding company of Severn Savings Bank, approved the merger of Severn with and into Shore, with Shore as the surviving corporation, and the issuance of shares of Shore’s common stock to the shareholders of Severn pursuant to the agreement and plan of merger, dated as of March 3, by and between Shore and Severn. Severn’s shareholders approved the merger agreement, the merger and the compensation payable to the named executive officers of Severn in connection with the merger.
Shore previously received all required bank regulatory approvals for the consummation of the merger of Severn Savings Bank Severn with and into Shore United Bank, with Shore United Bank as the surviving institution. Subject to customary closing conditions, the transaction is expected to be consummated effective as of Oct. 31.
“We are pleased to have received the approval of our shareholders for our acquisition of Severn and the issuance of shares of our common stock to Severn’s shareholders in connection with our acquisition and the approval of the proposed transaction by Severn’s shareholders,” Lloyd L. Beatty Jr., president and CEO of Shore, said. “We believe that these voting results are an affirmation of our belief that the combination of Shore and Severn will create one of the most attractive commercial banks in and beyond Maryland with significant opportunities to enhance the banking experience for the combined institution’s customers and drive increased value for our shareholders.”