Peoples Bancorp Shareholders Approve Sale to Hanscom Federal Credit Union
Shareholders hold final meeting at CRY&CC voting the end of an era
Peoples’ Bancorp shareholders held their final meeting yesterday, May 21, and voted to accept the offer from Hanscom Federal Credit Union to purchase the company’s assets for $50 million. The sale will yield a sale price of $65-$68 per share.
The final meeting took place at the Chester River Yacht & Country Club and the transaction should close before the end of this year.
With the shareholders’ vote completed, the sale now undergoes regulatory approval by banking and credit union regulators. Peoples’ will continue operating as “The Peoples Bank” until the sale is complete.
While no post-sale rebranding has been announced, federal credit unions are not permitted to use “bank” in their trade name.
Peoples Bank customers will become members of Hansom FCU. Regulation and deposit insurance would shift to the National Credit Union Administration to cover accounts up to $250,000, similar to FDIC.
In addition to the banking operations, Peoples’ other major asset, Fleetwood Insurance Group, would join the HFCU umbrella. HFCU has no insurance operations. The company purchased Fleetwood, formerly FAM&M insurance, in 2007.
The sale ends Peoples’ status as the oldest locally owned bank in Kent County. The bank originally opened in Thomas Eliason’s mercantile in the White Swan Building on High Street in 1910.