CHUNYIP WONG/E+ via Getty Images
Camden National Corporation (NASDAQ:CAC) will acquire Northway Financial (OTCQB:NWYF) in an $86.6M all-stock deal.
After the closing of the deal, the combined company will operate under the Camden National Bank name.
Under the deal, Northway shareholders will get 0.83 shares of Camden’s stock for each outstanding share of Northway’s stock.
The deal is valued at $31.46 per share of Northway common stock.
After the closing of the deal, one Northway director will join the boards of both Camden National and Camden National Bank.
On a combined basis, the deal is expected to be ~19.9% accretive to Camden National’s 2025 earnings per share and 32.7% accretive to Camden National’s 2026 earnings per share.
After the merger, the company’s capital ratios are expected to remain significantly above “well-capitalized” thresholds, with the pro forma company well-positioned for future growth.
As per the deal, Camden National shareholders will own ~86% of the combined company and Northway’s shareholders will own the rest, which will continue to trade on Nasdaq under the “CAC” ticker symbol.
“This union will increase our size and scale, and bolster our presence in New Hampshire,” CEO of Camden National, Simon Griffiths, said.
The combined company is expected to have 74 branches, ~$7B in assets, $5.1B in loans, $5.5B in deposits, and $2B of assets under administration.
CAC shares were up 0.3% in premarket trade.
