Putnam County Savings Bank (“PCSB”) and CMS Bancorp, Inc. (NASDAQ: CMSB) (“CMS”), the holding company for CMS Bank, jointly announced the execution of a definitive merger agreement, dated September 25, 2014, which provides for the acquisition of CMS and CMS Bank by PCSB in an all cash transaction valued at $13.25 per share and an aggregate deal value of approximately $25.4 million. The definitive merger agreement is subject to approval by CMS’s stockholders and applicable banking regulatory authorities. It is anticipated that the merger will close in the first half of 2015.
The transaction will add five retail branches in Westchester County to PCSB’s existing 10 branch network, which includes branches in Rockland County. The CMS Bank branch offices will be operated under the name “Putnam County Savings Bank.” One CMS director will be joining the PCSB Board of Trustees.
In announcing the transaction, PCSB President and Chief Executive Officer Joseph D. Roberto stated, “We are extremely excited about our partnership with CMS. This transaction provides an excellent platform for further growth and will expand our franchise in the Westchester County market. We look forward to continuing PCSB’s excellent customer service and our goal of investing in the communities we serve.”