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Proposed Acquisition of Stewardship Financial Corporation
6 Months Ended
Jun. 30, 2019
Business Combinations [Abstract]  
Proposed Acquisition of Stewardship Financial Corporation
Proposed Acquisition of Stewardship Financial Corporation

On June 7, 2019, the Company and Stewardship Financial Corporation ("Stewardship"), the holding company for Atlantic Stewardship Bank, announced that the companies have entered into a definitive merger agreement (the "Merger Agreement") pursuant to which the Company will acquire Stewardship in an all-cash transaction. Under the terms of the agreement, Stewardship will merge with and into a wholly owned subsidiary of the Company formed to facilitate the merger ("Merger Sub"), with Stewardship continuing as the surviving company (the "First-Step Merger") and each outstanding share of Stewardship common stock will be exchanged for $15.75 in cash. Immediately following the effective time of the First-Step Merger, Stewardship will merge with and into the Company, with the Company continuing as the surviving company.


15.    Proposed Acquisition of Stewardship Financial Corporation (continued)

As of June 30, 2019, Stewardship had approximately $964.3 million of assets, $748.1 million of loans, and $781.9 million of deposits held across a network of 12 branches located throughout Bergen, Passaic and Morris counties.

Merger-related expenses which are recorded in the consolidated statements of income and include costs relating to the Company's proposed acquisition of Stewardship, represent one-time costs associated with acquisition activities and do not represent ongoing costs of the fully integrated combined organization. Accounting guidance requires that acquisition-relate transactional and restructuring costs incurred by the Company be charged to expense as incurred.

The consummation of the transactions contemplated by the Merger Agreement is subject to customary closing conditions, including, but not limited to, (i) receipt of the requisite approval of Stewardship's shareholders, (ii) receipt of all required regulatory approvals, (iii) the absence of any law or order prohibiting the closing, (iv) the accuracy of the representations and warranties of the other party in the Merger Agreement (subject to certain materiality standards) and (v) compliance in all material respects by the other party with its covenants in the Merger Agreement.