GREENSBORO, N.C. — NewBridge Bancorp and CapStone Bank today announced the signing of a definitive agreement of combination. The combination will result in a community bank with total assets of $2.5 billion and a significant banking presence in the top four metro markets in North Carolina.
“This combination will create one of the largest community banks in North Carolina and further establishes NewBridge Bank as a strategically active acquirer in the Carolinas and Virginia,” Pressley A. Ridgill, president and chief executive officer of NewBridge Bancorp and NewBridge Bank, said in a statement Friday.
Under the terms of the agreement, CapStone’s shareholders will receive 2.25 shares of NewBridge common stock for each share of CapStone common stock. This implies a deal value of $16.60 per share, or approximately $63.6 million, based on NewBridge’s average closing stock price over the last 10 trading days. CapStone shareholders are expected to own approximately 22% of the resulting company.
The merger was unanimously approved by the boards of directors of each company. The combination, which is subject to shareholder and regulatory approval, is expected to close in the first quarter of 2014. The rebranding of Capstone offices is anticipated to occur in the second quarter of 2014.
Read more: NewBridge Bank website