Community Banking: Cambridge Financial Group Will Buy Melrose Bancorp
This is the 10th takeover for the Banking on Profit portfolio.
Cambridge Financial Group is acquiring Melrose Bancorp (MELR) for $25 a share in cash.
The mutual holding company for Cambridge Savings Bank will receive quite a boost after this deal. Cambridge would have assets of approximately $4.7 billion and a branch network of 17 full-service offices. The transaction is subject to regulatory and shareholder approval and should close in the second quarter of 2020.
“We are pleased to announce that we are partnering with Melrose to expand our presence in Middlesex County,” said Wayne Patenaude, President and CEO of Cambridge Financial Group. “As local banks, we share similar core values and a relationship-centric approach to serving the communities that we are fortunate to be a part of. This transaction is a very natural and contiguous expansion of our current footprint.”
Jeffrey D. Jones, President and CEO of Melrose Bancorp, also praised the deal.
But the people who got the most benefit out of the merger: Investors who bought Melrose Bancorp off the recommendation of Tim Melvin.
Cambridge Financial Merger: Community Banking Win No. 10
Meanwhile, the Melrose takeover was the 10th of the year for Tim Melvin’s Banking on Profit portfolio.
The stake also closed out with readers generating 37% on their position.
Further, this has become a regular occurrence. Since the inception of the Banking on Profit newsletter, Melvin has achieved annual returns in the double-digits each year. In the last three years, Melvin’s portfolio has seen 33 takeovers, with 26 of them in the last 24 months. More important, his community banking letter has never experienced a losing position.
We are giving away access to the Daily Alts Community Banking Letter for a limited time.
Authored by Tim Melvin, one of the world’s top community banking analysts, this newsletter contains monthly insight into the community banking space and a portfolio of stocks that are ripe for acquisition in 2020.
Sign up, right here. You’ll start receiving your two free months in January.
Latest Alternative Investment News
Lloyds Banking Group (LON: LLOY), Britain’s biggest mortgage provider, will acquire a minority stake in loyalty app Bink, according to a report by Sky News for an undisclosed amount that…
An iconic property in Bel Air, Los Angeles, designed by internationally acclaimed English architect John Pawson changed hands last month for $133 million and the buyer was Coinbase (NASDAQ: COIN)…
VegTech Invest advisory has launched the VegTech Plant-based Innovation & Climate ETF (Ticker: EATV), its first financial product. The ETF offers exposure to publicly traded companies actively innovating with plants…
Chinese AI company Parametrix.ai has raised $100 million in a Series B round led by Sequoia China and joined by existing investors 5Y Capital and Gaorong Capital. Though the valuation…