Thursday, May 28, 2015

Customers Bank buys $1 billion D.C. lender

$65 million stock premium for Acacia Federal

Customers Bank buys $1 billion D.C. lender

Customers Bancorp Inc., the fast-growing, suburban Reading-based company set up by former Sovereign Bank boss Jay S. Sidhu when he bought out the Phoenixville bank run by publisher Steve Forbes' brother-in-law a couple years back, has agreed to issue $65 million in new non-voting common and preferred stock in exchange for acquiring $1 billion asset Acacia Federal Savings Bank from owner Ameritas Mutual Holding Co.

The deal would make Customers a $3 billion asset bank with 15 offices stretching from Connecticut through New York, New Jersey, and southeast Pennsylvania, to Washington, DC.

The deal will also make Ameritas, a dental-plan and benefits manager, a nearly 10% voting owner (and 20% share owner) of Customers. Sidhu announced, and cancelled, a public share sale earlier this year. The sales agreement excludes "higher risk" an  non-performing loans and real estate, and Ameritas agreed to eat property and technology contract cancellation fees.

About this blog

PhillyDeals posts drafts, transcripts and updates of Joseph N. DiStefano's columns and stories about Philly-area business, which he's been writing since 1989.

DiStefano studied economics, history and a little engineering at Penn and taught writing at St. Joseph's. He has written thousands of columns and articles for the Inquirer, Bloomberg and other media, wrote the book Comcasted, and raised six children with his wife, who is a saint.

Reach Joseph N. at JoeD@phillynews.com, distefano251@gmail.com, 215.854.5194 or 302.652.2004.

Reach Joseph N. at JoeD@phillynews.com or 215 854 5194.

Joseph N. DiStefano