NB Bancorp and Provident Bancorp have completed the final proration of merger consideration, setting the terms for the pending acquisition of Provident by NB Bancorp. The proration, announced on November 13 2025, allocates 16.31 % of Provident shares that elected stock consideration, 75.33 % that elected cash, and 8.36 % that made no election to receive stock consideration. Among cash‑elected shares, 66.377 % will receive cash and 33.623 % will receive stock, while all stock‑elected and non‑elected shares receive stock. The transaction is scheduled to close on November 15 2025 at 12:01 a.m. Eastern Time.
The proration confirms the terms of the June 5 2025 merger agreement and establishes that NB Bancorp will issue approximately 5,944,350 shares of its common stock, bringing the pro‑forma shares outstanding to about 45,770,800. The deal is valued at $211.8 million and will combine the banks’ assets into a $7.1 billion balance sheet, positioning the new entity as the sixth‑largest Massachusetts‑based bank in the Boston MSA by deposit market share.
Financially, NB Bancorp reported record Q3 2025 earnings of $15.4 million, or $0.43 per diluted share, up from $14.6 million ($0.39 EPS) in Q2 2025, reflecting strong revenue growth and disciplined cost management. Provident’s Q3 2025 net income was $2.7 million, or $0.16 per diluted share, a slight decline from the prior quarter but a significant improvement over the same period a year earlier, underscoring the stability of both banks’ earnings bases. The high cash election rate of 75.33 % reflects shareholder preference for liquidity amid market uncertainty and the desire to lock in a guaranteed cash payout before the merger’s closing.
Strategically, the merger expands NB Bancorp’s branch footprint into the North Shore of Massachusetts and Southern New Hampshire, markets where it already has a concentration of business clients. The combined entity will leverage cross‑selling opportunities and operational synergies, with projected cost savings and revenue enhancements that support the 19 % accretion to NB Bancorp’s earnings per share in 2026. The deal also aligns with broader industry consolidation trends, as community banks seek scale to compete with larger regional players.
Joseph P. Campanelli, Chairman, President and CEO of NB Bancorp, said the merger “allows Needham Bank to expand into attractive market areas on the Massachusetts North Shore and in Southern New Hampshire where we already have a concentration of business clients.” He added that the timely regulatory approvals “speaks to the commitment and efforts of these two organizations coming together as one.” Joseph B. Reilly, President and CEO of Provident Bancorp, noted that the combined entity will “offer an expanded product line of commercial and consumer products that will provide real value to our market areas,” and expressed pride in the foundation that BankProv has built.
The final proration sets the stage for a smooth closing, with all regulatory approvals in place and a clear path to integration. The transaction’s accretive nature, combined with the strategic geographic expansion and the robust financial performance of both banks, positions the new entity for continued growth and enhanced shareholder value.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.