Camden National Corporation and Northway Financial, Inc. to Merge
Camden National (NASDAQ: CAC) and Northway Financial, Inc. (OTCQB: NWYF) have announced a merger agreement valued at approximately $86.6 million. The all-stock transaction will create a premier northern New England bank with 74 branches across New Hampshire and Maine, boasting $7.0 billion in assets, $5.1 billion in loans, and $5.5 billion in deposits. The combined entity will operate under the Camden National Bank name.
The merger is expected to be 19.9% accretive to Camden National's 2025 earnings per share and 32.7% accretive to 2026 earnings per share. Subject to regulatory approvals and Northway shareholder approval, the transaction is anticipated to close in the first quarter of 2025. Post-merger, Camden National shareholders will own approximately 86% of the combined company, while Northway shareholders will own about 14%.
Camden National (NASDAQ: CAC) e Northway Financial, Inc. (OTCQB: NWYF) hanno annunciato un accordo di fusione del valore di circa 86,6 milioni di dollari. La transazione interamente in azioni darà vita a una banca di punta nel nord del New England, con 74 filiali distribuite tra New Hampshire e Maine, vantando 7,0 miliardi di dollari in attivi, 5,1 miliardi di dollari in prestiti e 5,5 miliardi di dollari in depositi. L'entità combinata opererà sotto il nome di Camden National Bank.
Si prevede che la fusione avrà un impatto positivo del 19,9% sugli utili per azione di Camden National del 2025 e un impatto positivo del 32,7% sugli utili per azione del 2026. Soggetto ad approvazioni regolatorie e all'approvazione degli azionisti di Northway, la transazione dovrebbe concludersi nel primo trimestre del 2025. Dopo la fusione, gli azionisti di Camden National possederanno circa 86% della società combinata, mentre gli azionisti di Northway possederanno circa 14%.
Camden National (NASDAQ: CAC) y Northway Financial, Inc. (OTCQB: NWYF) han anunciado un acuerdo de fusión valorado en aproximadamente 86,6 millones de dólares. La transacción, que será totalmente en acciones, creará un banco de primer nivel en el norte de Nueva Inglaterra con 74 sucursales en New Hampshire y Maine, con 7,0 mil millones de dólares en activos, 5,1 mil millones de dólares en préstamos y 5,5 mil millones de dólares en depósitos. La entidad combinada operará bajo el nombre de Camden National Bank.
Se espera que la fusión sea 19,9% accretiva para las ganancias por acción de Camden National en 2025 y 32,7% accretiva para las ganancias por acción de 2026. Sujeta a aprobaciones regulatorias y a la aprobación de los accionistas de Northway, se anticipa que la transacción se cierre en el primer trimestre de 2025. Tras la fusión, los accionistas de Camden National poseerán aproximadamente 86% de la compañía combinada, mientras que los accionistas de Northway poseerán alrededor del 14%.
캠든 내셔널 (NASDAQ: CAC)과 노스웨이 파이낸셜, Inc. (OTCQB: NWYF)는 약 8,660만 달러의 가치가 있는 합병 계약을 발표했습니다. 주식 거래로 이루어질 이 거래는 뉴햄프셔와 메인을 아우르는 74개의 지점을 가진 북부 뉴잉글랜드의 주요 은행을 만들 것이며, 70억 달러의 자산, 51억 달러의 대출, 55억 달러의 예금을 자랑합니다. 통합된 기관은 캠든 내셔널 뱅크라는 이름으로 운영됩니다.
이번 합병은 캠든 내셔널의 2025년 주당 수익에 19.9%의 긍정적인 기여를 할 것으로 예상되며, 2026년 주당 수익에는 32.7%의 긍정적인 기여를 할 것으로 보입니다. 규제 승인 및 노스웨이 주주 승인에 따라, 이번 거래는 2025년 1분기에 종료될 것으로 예상됩니다. 합병 후 캠든 내셔널 주주들은 통합 회사의 약 86%를 소유하게 되며, 노스웨이 주주들은 약 14%를 소유하게 됩니다.
Camden National (NASDAQ: CAC) et Northway Financial, Inc. (OTCQB: NWYF) ont annoncé un accord de fusion d'une valeur d'environ 86,6 millions de dollars. La transaction entièrement en actions créera une banque de premier plan dans le nord de la Nouvelle-Angleterre avec 74 agences à travers le New Hampshire et le Maine, affichant 7,0 milliards de dollars d'actifs, 5,1 milliards de dollars de prêts et 5,5 milliards de dollars de dépôts. L'entité combinée opérera sous le nom de Camden National Bank.
On s'attend à ce que la fusion soit 19,9% accretive pour le bénéfice par action de Camden National en 2025 et 32,7% accretive pour le bénéfice par action en 2026. Sous réserve des approbations réglementaires et de l'approbation des actionnaires de Northway, la transaction devrait se clôturer au premier trimestre de 2025. Après la fusion, les actionnaires de Camden National détiendront environ 86% de la société combinée, tandis que les actionnaires de Northway en posséderont environ 14%.
Camden National (NASDAQ: CAC) und Northway Financial, Inc. (OTCQB: NWYF) haben eine Fusionsvereinbarung im Wert von etwa 86,6 Millionen US-Dollar bekannt gegeben. Die gesamte Transaktion in Aktien wird eine Spitzenbank im nördlichen Neuengland mit 74 Filialen in New Hampshire und Maine schaffen, die über 7,0 Milliarden US-Dollar an Vermögenswerten, 5,1 Milliarden US-Dollar an Krediten und 5,5 Milliarden US-Dollar an Einlagen verfügt. Die fusionierte Einheit wird unter dem Namen Camden National Bank operieren.
Die Fusion wird voraussichtlich 19,9% positive Auswirkungen auf den Gewinn pro Aktie von Camden National im Jahr 2025 haben und 32,7% positive Auswirkungen auf den Gewinn pro Aktie im Jahr 2026. Vorbehaltlich der behördlichen Genehmigungen und der Zustimmung der Northway-Aktionäre wird erwartet, dass die Transaktion im ersten Quartal 2025 abgeschlossen wird. Nach der Fusion werden die Aktionäre von Camden National etwa 86% des fusionierten Unternehmens besitzen, während die Aktionäre von Northway etwa 14% besitzen werden.
- Creation of a premier northern New England bank with $7.0 billion in assets
- Expected 19.9% accretion to Camden National's 2025 earnings per share
- Expected 32.7% accretion to Camden National's 2026 earnings per share
- Expansion of Camden National's presence in New Hampshire
- Increased size and scale, potentially driving profitability and shareholder value
- Broader product offerings and higher lending limits for customers
- Integration challenges may arise from combining two separate entities
- Potential dilution for existing Camden National shareholders
- Execution risks associated with realizing projected synergies and accretion
Insights
This merger marks a significant expansion for Camden National, creating a $7.0 billion asset bank with a stronger foothold in New Hampshire. The all-stock transaction valued at
The deal's structure, offering 0.83 Camden National shares for each Northway share, values Northway at a premium of about
This merger strategically positions Camden National as a premier northern New England bank, significantly expanding its presence in New Hampshire. The combined network of 74 branches across Maine and New Hampshire creates a contiguous footprint in attractive markets. This expanded presence could lead to increased market share and improved brand recognition.
The transaction aligns with industry trends of regional bank consolidation to achieve scale and efficiency. The combined entity's larger size (
The merger agreement appears well-structured, with key legal and regulatory considerations addressed. The transaction is subject to customary conditions, including regulatory approvals and Northway shareholder approval. The expected closing in Q1 2025 allows ample time for regulatory review and integration planning.
The all-stock nature of the deal may provide tax advantages for Northway shareholders. The addition of a Northway director to Camden National's board post-merger suggests efforts to ensure continuity and representation. Investors should note that while the boards have unanimously approved the merger, there's always a possibility of shareholder litigation or regulatory hurdles that could impact the deal's timeline or terms.
Positions Camden National as a Premier Northern New England Bank
The transaction presents a unique opportunity to combine two high-quality and culturally aligned franchises with adjacent geographies, creating a premier publicly traded northern New England bank. The combined company will have 74 branches serving attractive markets throughout a contiguous footprint in
"Camden National and Northway share a similar culture, consistent credit and risk profiles, and deep commitment to the communities we serve," said Simon Griffiths, president and chief executive officer of Camden National. "This union will increase our size and scale, and bolster our presence in
"We are excited to announce this strategic combination with Camden National. The ability to have two organizations with similar missions come together positions us well in a significantly competitive market; particularly with an improved ability to allocate capital in more ways than we could on our own. Combined, we strengthen our foundations of a forward-thinking approach to community banking while best serving clients with whom we have built strong relationships over the years." said William Woodward, president, chief executive officer and chairman of Northway Financial. "With shared histories and community commitment, this alliance doesn't just extend our influence; it drives significant operational enhancements and strategically positions us for future growth for years to come."
Subject to the terms of the definitive agreement, which both boards have unanimously approved, Northway shareholders will receive 0.83 shares of Camden National common stock for each outstanding share of Northway common stock. Based on Camden National's closing stock price of
Griffiths continued, "The merger will build upon our existing presence in
As of June 30, 2024, Northway had approximately
Financially Compelling Transaction
On a combined basis, the merger is expected to be approximately
The merger is expected to be completed during the first quarter of 2025, subject to certain customary conditions, including the receipt of required regulatory approvals and approval by Northway shareholders.
Upon completion of the transaction, Camden National shareholders will own approximately
Advisors
Raymond James & Associates, Inc. is serving as the exclusive financial advisor and rendered a fairness opinion to the Board of Directors of Camden National. Sullivan & Cromwell LLP is serving as legal counsel to Camden National in the transaction. Performance Trust Capital Partners LLC is serving as the exclusive financial advisor to Northway and rendered a fairness opinion to the Board of Directors of Northway. Goodwin Procter LLP is serving as legal counsel to Northway in the transaction.
Conference Call
Camden National Corporation will host a conference call to discuss the transaction at 1:00 p.m. Eastern Time today. Parties interested in listening to the teleconference should dial into the call or connect to the webcast link 10 – 15 minutes before it begins. Dial-in and webcast information to participate is as follows:
Live Dial-In (
Global Dial-In Numbers: https://www.netroadshow.com/conferencing/global-numbers?confId=70836
Participant access code: 479927
Live Webcast URL: https://events.q4inc.com/attendee/862569267
A link to the live webcast will be available on Camden National Corporation's website at CamdenNationalCorporation.com prior to the meeting. The conference call's transcript and replay will also be available on Camden National's website following the conference call.
About Camden National Corporation
Camden National Corporation (NASDAQ: CAC) is Northern New England's largest publicly traded bank holding company, with
Comprehensive wealth management, investment, and financial planning services are delivered by Camden National Wealth Management.
About Northway Financial, Inc.
Northway Financial, Inc., headquartered in
Forward-Looking Statements
This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements about Camden National's beliefs, plans, strategies, predictions, forecasts, objectives, intentions, assumptions or expectations are not historical facts and may be forward-looking. These include, but are not limited to, statements regarding the proposed transaction, revenues, earnings, loan production, asset quality, and capital levels, among other matters; Camden National's estimates of future costs and benefits of the actions it may take; Camden National's assessments of probable losses on loans; Camden National's assessments of interest rate and other market risks; Camden National's ability to achieve its financial and other strategic goals; the expected timing of completion of the proposed transaction; the expected cost savings, synergies and other anticipated benefits from the proposed transaction; and other statements that are not historical facts.
Forward-looking statements are often, but not always, identified by such words as "believe," "expect," "anticipate," "can," "could," "may," "predict," "potential," "intend," "outlook," "estimate," "forecast," "project," "should," "will," and other similar words and expressions, and are subject to numerous assumptions, risks, and uncertainties, which may change over time.
Because forward-looking statements are subject to assumptions and uncertainties, actual results or future events could differ, possibly materially, from those indicated in such forward-looking statements as a result of a variety of factors, many of which are beyond the control of Camden National and Northway. Such statements are based upon the current beliefs and expectations of the management of Camden National and are subject to significant risks and uncertainties outside of the control of the parties. Caution should be exercised against placing undue reliance on forward-looking statements. The factors that could cause actual results to differ materially include the following: the reaction to the transaction of the companies' customers, employees and counterparties; customer disintermediation; inflation; expected synergies, cost savings and other financial benefits of the proposed transaction might not be realized within the expected timeframes or might be less than projected; the requisite stockholder and regulatory approvals for the proposed transaction might not be obtained; credit and interest rate risks associated with Camden National's and Northway's respective businesses, customers, borrowings, repayment, investment, and deposit practices; general economic conditions, either nationally or in the market areas in which Camden National and Northway operate or anticipate doing business, are less favorable than expected; new regulatory or legal requirements or obligations; and other risks. Certain risks and important factors that could affect Camden National's future results are identified in its Annual Report on Form 10-K for the year ended December 31, 2023 and other reports filed with the Securities and Exchange Commission ("SEC"), including among other things under the heading "Risk Factors" in such Annual Report on Form 10-K. These risks and uncertainties are not exhaustive. Other sections of such reports describe additional factors that could affect Camden National's business and financial performance. Any forward-looking statement speaks only as of the date on which it is made, and Camden National undertakes no obligation to update any forward-looking statement, whether to reflect events or circumstances after the date on which the statement is made, to reflect new information or the occurrence of unanticipated events, or otherwise.
Additional Information and Where to Find It
This communication is being made in respect of the proposed merger transaction involving Camden National and Northway. Camden National intends to file a registration statement on Form S-4 with the SEC, which will include a proxy statement of Northway and a prospectus of Camden National, and Camden National will file other documents regarding the proposed transaction with the SEC. A definitive proxy statement/prospectus will also be sent to Northway stockholders seeking the required stockholder approval of the proposed transaction. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS AND SECURITY HOLDERS OF NORTHWAY ARE URGED TO CAREFULLY READ THE ENTIRE REGISTRATION STATEMENT AND PROXY STATEMENT/PROSPECTUS, WHEN THEY BECOME AVAILABLE, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. The documents filed by Camden National with the SEC may be obtained free of charge at the SEC's website at www.sec.gov. In addition, the documents filed by Camden National may be obtained free of charge under the "Investor Relations" section of Camden National's website at http://www.camdennational.bank. Alternatively, these documents, when available, can be obtained free of charge from Camden National upon written request to Camden National Corporation, Attn: Corporate Secretary, 2 Elm Street,
Participants in Solicitation
Camden National, Northway, and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies in respect of the proposed transaction under the rules of the SEC. Information regarding Camden National's directors and executive officers is available in its definitive proxy statement, which was filed with the SEC on April 5, 2024, and certain other documents filed by Camden National with the SEC. Other information regarding the participants in the solicitation of proxies in respect of the proposed transaction and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the proxy statement/prospectus and other relevant materials to be filed with the SEC. Free copies of these documents, when available, may be obtained as described in the preceding paragraph.
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SOURCE Camden National Corporation
FAQ
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