Provident, Lakeland Merge in $1.3B Bank Deal
Provident Financial Services, the parent company of New Jersey-based Provident Bank, and Lakeland Bancorp, parent company of Lakeland Bank, agreed to merge in an all-stock transaction valued at approximately $1.3 billion, the banks announced.
Lakeland shareholders will receive 0.8319 shares of Provident stock for each Lakeland share. Provident shareholders will own 58% of the joint entity and Lakeland shareholders will own 42%.
The deal is expected to close in the second quarter of 2023.
The deal would merge two of the area’s substantial commercial real estate businesses and give Lakeland access to Provident’s fee-based insurance and wealth management units, while Provident could lean into Lakeland’s asset-based lending and equipment lease financing business, the banks said.
The combined bank will be headquartered in Iselin and led by CEO Anthony Labozzetta, the current CEO of Provident Bank. Thomas Shara Jr., Lakeland’s current CEO and director, will serve as executive vice chairman.
