New Jersey-based Spencer Savings Bank will acquire Wawel Bank in an all-cash transaction valued at approximately $3.4 million, or $4.00 per publicly held share. The price may be subject to adjustment depending upon Wawel’s shareholder’s equity and the level of Wawel’s deposits at the time of the anticipated merge close in early 2018.
Both boards of directors approved the merger. The agreement will also need approval from the usual regulatory bodies, the shareholders of Wawel and the members of Wawel Financial, its parent company, along other customary closing conditions.
“The acquisition provides an opportunity to expand in two of our core markets, gain access to additional resources, products and support services, while enhancing our commitment to the community,” said José B. Guerrero, chairman, president and CEO of Spencer Savings Bank.
“We are excited to be joining an organization with a familiar commitment to customer relationships and community banking. Spencer’s values and management are a source of confidence that decisions will be rooted in the best interest of our depositors and community,” said Danuta Sieminski, CEO of Wawel Bank.
Boenning & Scattergood will serve as financial advisor to Spencer, with Lock Lord serving as its legal counsel. Sandler O’Neill & Partners served as financial advisor to Wawel, while Windels Marx Lane & Mittendorf will continue to serve as legal counsel.
Spencer Savings Bank is a full service, mutually owned and operated, community bank with 21 branches across New Jersey.
Wawel Bank is a federally chartered savings bank and currently operates two Bergen County, NJ full-service banking offices.