New Jersey-based NVE Bancorp, Connecticut-based Ion Financial to merge
May 29, 2024 – Englewood, NJ-based NVE Bancorp MHC and Naugatuck, Conn.-based Ion Financial MHC signed a merger agreement that will see NVE Bancorp be combined with Ion Financial.
NVE Bancorp’s subsidiary, NVE Bank, will be combined with Ion Financial’s subsidiary, Ion Bank, according to a May 28 news release. NVE Bank will be operated as a division of Ion Bank.
Ion Financial expects the merger to be accretive to tangible capital and earnings. When the merger is finalized, Ion Bank will have about $2.7 billion in assets and an additional 10 branch locations throughout Bergen County, NJ.
As a part of the deal, a new charitable foundation will be formed with an initial contribution of $5.0 million. The foundation will serve the communities served by NVE Bank.
Upon the completion of the transaction, NVE Bank’s directors will be offered a position on the boards of Ion Financial and Ion Bank. NVE Bank President and CEO Robert Rey may elect to join Ion Financial as president and as CEO of the NVE division.
Also, John Spencer will join Ion Financial as a senior vice president and will be named president of the NVE division. Ion Bank President and CEO David Rotatori will remain CEO of Ion Financial.
Luse Gorman PC served as legal counsel to NVE Bancorp and NVE Bank, and The Kafafian Group served as financial adviser to NVE Bancorp.