Investors Bancorp Inc.
) plummeted 61.16% to close at $10.42 per share after completion of
the mutual-to-stock conversion and common stock offering worth
$2.20 billion based on expected dilution of ownership.
On Thursday, Investors Bancorp - the existing Delaware Corporation
and the holding company of Investors Bank and New Investors Bancorp
- the proposed holding company of Investors Bank, completed the
conversion from the mutual fund holding company structure along
with the stock offering. After the conversion, New Investors
Bancorp owns Investors Bank completely and has become a public
Further, New Investors Bancorp completed the sale of 219.58 million
common shares at a price of $10.00 per share, including 6.6 million
shares to be procured by the Bank's Employee Stock Ownership Plan
(ESOP). Notably, in the subscription offering, the company
got over 9,000 orders for about $1.27 billion, excluding ESOP.
RBC Capital Markets, a unit of
Royal Bank of Canada
), Keefe, Bruyette & Woods, and Sandler O'Neill & Partners,
L.P. served as joint book-running managers for the transaction.
), Deutsche Bank Securities, a subsidiary of
Deutsche Bank AG
), and J.P. Morgan served as joint lead managers.
Along with the completion of the conversion and stock offering,
each existing share of common stock owned by public shareholders
was swapped for 2.55 shares of New Investors Bancorp common stock.
Further, fractional shares will be paid in cash at $10.00 per
Notably, following the conversion, exchange and stock offering, New
Investors Bancorp has been renamed Investors Bancorp, Inc. with the
ticker symbol of "ISBC."
Overall, New Investors Bancorp will have shares outstanding of
about 358.2 million with a market capitalization of about $3.58
billion. Management looks forward to the success of its plan to
leverage the new capital and the expansion of the firm along with
the support of employees, shareholders and clients.
Currently, Investors Bancorp carries a Zacks Rank #2 (Buy).
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