On Tuesday, it was announced that Kearny Financial Corp. will acquire Central Jersey Bancorp for $72.3 million. Kearny Financial Corp will pay in cash. The transaction between the two companies is pending approval by regulators and shareholders.
Five months ago, Ocean Township-based Central Jersey Bancorp nearly merged with Toms River-based OceanFirst Financial Corp. The deal was valued at $68.4 million, but the merger fell apart because the companies were tired of waiting for regulatory approval. At the time, Central Jersey Bancorp was not as financially stable as OceanFirst investors would have liked. Since the failed merger, however, Central Jersey Bancorp has markedly improved its numbers.
A year ago, Central Jersey Bancorp had a first-quarter net income of $125,000, or one cent per share. This year, Central Jersey Bancorp reported a first-quarter income of $554,000, or 6 cents per share. Its delinquent loans, which peaked in September 2009, have decreased by 47 percent.
The acquisition will give the parent company of Kearny Federal Savings Bank (based in Fairfield, New Jersey) 13 more branches in Monmouth and Ocean counties. The acquired branches will operate as “Central Jersey Bank, a division of Kearny Federal Savings Bank.”
- Kearny Financial buying Central Jersey Bank for $73.2M (Asbury Park Press)