FAIR LAWN, N.J., Sept. 27, 2017 /PRNewswire/ -- Columbia Financial, Inc. ("Columbia Financial"), the holding company for Columbia Bank (the "Bank"), announced today that Columbia Financial has adopted a Plan of Stock Issuance (the "Plan"), pursuant to which Columbia Financial will offer up to 49.9% of its shares of common stock for sale to the Bank's eligible account holders and tax-qualified employee benefit plans in a subscription offering and, to the extent shares remain available, to members of the general public in a community offering. Following the offering, Columbia Financial, MHC (the "MHC"), the mutual holding company parent of Columbia Financial, will hold a majority of the outstanding shares of Columbia Financial. The Bank will remain a wholly-owned subsidiary of Columbia Financial.
The Plan establishes June 30, 2016 as the eligibility record date for determining eligible depositors of the Bank entitled to receive first priority nontransferable subscription rights to purchase common stock. The Plan also provides for a contribution of stock to be made to a charitable foundation of the Bank that supports the communities served by the Bank.
Thomas J. Kemly, President and Chief Executive Officer of Columbia Financial and the Bank, noted "The stock offering is one of the most important and exciting events in the history of the Bank. The capital we expect to raise will afford us the opportunity to continue to grow our franchise while maintaining our commitment to the communities we serve."
The Plan is subject to regulatory approval. Columbia Financial will also file a registration statement for the offering of the shares with the Securities and Exchange Commission. Subject to the receipt of all required approvals, the proposed minority stock offering is expected to commence in the first quarter of 2018. The business of Columbia Bank will continue normally and without interruption during the stock offering process. The offering will have no impact whatsoever on existing savings accounts and loans and all accounts will remain insured up to applicable limits by the Federal Deposit Insurance Corporation.
About Columbia Bank
Headquartered in Fair Lawn, New Jersey, Columbia Bank, a wholly-owned subsidiary of Columbia Financial, has an asset base of more than $5 billion and 47 full-service offices throughout New Jersey. Columbia Bank offers a wide range of consumer and commercial products, including online and mobile banking, localized lending centers as well as title, investment and wealth management services.
This release is neither an offer to sell nor a solicitation of an offer to buy common stock. The offer is made only by the prospectus when accompanied by a stock order form. The shares of common stock of Columbia Financial are not savings accounts or savings deposits, may lose value and are not insured by the Federal Deposit Insurance Corporation or any other government agency.
This press release contains certain forward-looking statements about the offering and the transactions contemplated by the Plan. Forward-looking statements include statements regarding anticipated future events and can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as "believe," "expect," "anticipate," "estimate," and "intend" or future or conditional verbs such as "will," "would," "should," "could," or "may." Forward-looking statements, by their nature, are subject to risks and uncertainties. Certain factors that could cause actual results to differ materially from expected results include delays in approval or consummation of the Plan, difficulties in selling shares in the offering within the expected time frame, increased competitive pressures, changes in the interest rate environment, general economic conditions or conditions within the securities markets, and legislative and regulatory changes that could adversely affect the business in which Columbia Financial is engaged.
SOURCE Columbia Bank