Business Combinations (Tables)

12 Months Ended

Dec. 31, 2022

Business Combination and Asset Acquisition [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table summarizes the estimated fair value of the acquired assets and liabilities assumed at the date of acquisition for 1st Constitution.

(in thousands)
Assets acquired:
Cash and cash equivalents	$	326,236
Securities, available for sale	217,774
Securities, held to maturity	124,485
Federal Home Loan Bank stock	1,247
Loans held for sale	4,620
Loans	1,095,266
Premises and equipment	13,748
Right-of-use assets, operating lease	12,991
Goodwill	115,552
Identifiable intangible assets	9,018
Bank owned life insurance	37,580
Accrued interest receivable and other assets	8,820
Total assets acquired	1,967,337
Deposits	(1,650,613)
Subordinated debt	(14,734)
Operating lease liabilities	(12,991)
Other liabilities	(3,257)
Total liabilities assumed	(1,681,595)
Net assets acquired	$	285,742

Financing Receivable, Amortized Cost Basis Adjustments

The table below illustrates the fair value adjustments made to the amortized cost basis in order to present a fair value of the loans acquired.

(in thousands)
Gross amortized cost basis at January 6, 2022	$	1,110,600
Interest rate fair value adjustment on all loans	3,057
Credit fair value adjustment on non-PCD loans	(6,314)
Fair value of acquired loans at January 6, 2022	1,107,343
Allowance for credit losses on PCD loans	(12,077)
Fair value of acquired loans, net, as of January 6 2022	$	1,095,266

Financing Receivable, Purchased With Credit Deterioration

The following is a summary of the PCD loans acquired in the 1st Constitution acquisition as of the closing date.

(in thousands)
Gross amortized cost basis at January 6, 2022	$	140,300
Interest component of expected cash flows (accretable difference)	(3,792)
Allowance for credit losses on PCD loans	(12,077)
Net PCD loans	$	124,431

The following summarized the PCD loans acquired in the 1st Constitution acquisition as of the closing date, January 6, 2022.

(in thousands)
Gross amortized cost basis	$	140,300
Interest component of expected cash flows (accretable difference)	(3,792)
Allowance for credit losses on PCD loans	(12,077)
Net PCD loans	$	124,431

Business Acquisition, Pro Forma Information

(in thousands, except per share amounts)	Actual from acquisition to December 31, 2022		Pro forma December 31, 2022		Pro forma December 31, 2021
Net interest income	$	50,218	$	315,021	$	293,590
Provision for loan losses	6		8,514		(8,796)
Noninterest income	17,077		27,797		36,936
Noninterest expense	30,216		191,241		185,355
Net income	26,947		106,663		114,581
Earnings per share:
Fully diluted	$	0.42	$	1.62	$	1.77