New York Community Bancorp, Synergy Financial clear FDIC hurdle, merger set to close in Q4

By Lisa Kerner

Charlotte, N.C., Aug. 13 - The Federal Deposit Insurance Corp. approved the merger of Synergy Bank with and into New York Community Bank. The approval brings New York Community Bancorp, Inc. one step closer to its acquisition of Synergy Financial Group, Inc. in a deal first announced on May 14.

Under the companies' merger agreement, Synergy shareholders will receive 0.8 of a share of New York Community common stock for each of their Synergy shares. New York Community (NYSE: NYB) closed at $17.14 on Aug. 10.

Synergy shareholders will decide the merger at a special meeting on Sept. 18. The record date for the meeting is July 27. The transaction is expected to close in the fourth quarter.

As previously reported, Synergy directors and certain executive officers collectively owning 11.6% of the company's outstanding stock have agreed to vote in favor of the transaction, which has a total estimated value of $168.4 million.

The acquisition is expected to add 21 branches to New York Community Bancorp's franchise in New Jersey, according to a company news release.

New York Community Bancorp is based in Westbury, N.Y., and is the holding company for New York Community Bank and New York Commercial Bank. Cranford, N.J.-based Synergy Financial Group is the holding company for Synergy Bank and Synergy Financial Services, Inc.

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