Century Bancorp: Set to open at record high on $642 mln merger deal

CF Bankshares

08/04/2021 13:55

** State-chartered bank holding co's shares  CNBKA.O  jump
23.3% to $112.75 premarket, as Eastern Bankshares Inc  EBC.O  to
acquire co in $642 mln cash deal   
    ** EBC to offer CNBKA's shareholders $115.28/shr, implying a
premium of ~26.1% as of stock's last close  urn:newsml:reuters.com:*:nBw73JBHGa
    ** Upon deal closing in Q4 2021, Eastern will continue as
the surviving entity and concurrently merge Century Bank into
Eastern Bank and convert Century customers to the Eastern
platform with Century Bank branches assuming the Eastern Bank
name
    ** EBC expects the transaction to be ~55% accretive to
earnings on a fully synergized basis and to have an IRR of ~17% 
    ** Separately, EBC also announced a quarterly dividend of
$0.08/shr
    ** EBC is the stock holding company for Boston-based Eastern
Bank and CNBKA is the stock holding company for Century Bank and
Trust
    ** EBC shares were up 2.76% to $19.73 premarket
    ** As of last close, CNBKA up 18.2% YTD, while EBC gained
17.7%

 (Reporting by Devik Jain in Bengaluru)
 ((Devik.Jain@thomsonreuters.com; within U.S. +1 646 223 8780;
outside U.S. +91 80 6182 2062; ;))