Monday, April 29, 2019

Teachers CU to Acquire New Buffalo Savings Bank

Teachers Credit Union (South Bend, IN), and New Bancorp, Inc., the holding company of New Buffalo Savings Bank (New Buffalo, MI), announced on April 26 that the organizations have signed a definitive purchase and assumption agreement whereby Teachers CU will acquire the assets and assume the liabilities of New Bancorp and New Buffalo in an all-cash transaction.

Following the completion of this transaction, New Bancorp will settle its remaining obligations and distribute the remaining transaction proceeds to its shareholders.

New Buffalo operates three bank branches in New Buffalo, Sawyer and Three Oaks, Michigan and had $119.5 million in assets as of December 31, 2018.

The transaction is valued at $21.3 million or approximately 128.5 percent of New Bancorp’s tangible book value as of December 31, 2018.

This strategic acquisition will increase Teachers CU total number of branches to 57 and total assets to approximately $3.2 billion.

Read the press release.

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