Community Capital Bank Stockholders Approve Acquisition by Carver
Carver Bancorp, Inc. (the "Company" or "Carver") (AMEX:CNY), the holding company for Carver Federal Savings Bank, and Community Capital Bank, a Brooklyn-based community bank and leader in providing credit to minority- and women-owned small businesses, announced that Community Capital's stockholders overwhelmingly approved their transaction yesterday at an Annual and Special Meeting of Stockholders. On April 6, 2006, Carver and Community Capital announced that they entered into a definitive agreement whereby Carver would acquire Community Capital for approximately $11.1 million, or $40.00 per Community Capital share, in cash.
Deborah C. Wright, Chairman and CEO of Carver, said: "We are delighted that the stockholders of Community Capital Bank have approved this transaction and are excited about the prospect of moving forward to its completion. By combining Community Capital's award-winning small business lending unit with Carver's commercial real estate and residential lending arms, we will create a comprehensive lending platform, positioning Carver to accelerate its growth while providing Carver and Community Capital customers with expanded service."
Community Capital Bank President and CEO Charles F. Koehler, said: "Both Carver and Community Capital are distinctive in their ability to meet the needs of their customers and neighborhoods with personal attention. We look forward to working together to build upon our mutual commitment to true community banking."
The transaction is subject to regulatory approval and is currently expected to close by September 30, 2006.
As part of the initial transaction announcement on April 6, Carver noted its intention to retain both its thrift charter and Community Capital's commercial banking charter. Since then, Carver has determined that it will not retain Community Capital's commercial bank charter, but has instead applied to the New York State Banking Department for a limited purpose commercial charter. Among other things, the limited purpose commercial charter will allow Carver to market to New York State municipalities for deposits, a market currently unavailable to thrifts in New York State. This structure will enable Carver to maintain and expand service to Community Capital's customer base and enter into new commercial banking and commercial lending activities with significant growth potential.
With assets of approximately $800 million following the combination, the transaction reinforces Carver's position as the nation's largest African- and Caribbean-American operated bank. The combined organization will have 10 branches located in New York City's Harlem, downtown Brooklyn, Bedford-Stuyvesant, Crown Heights, Fort Greene, Jamaica, St. Albans and Sunset Park neighborhoods.
About Carver Bancorp, Inc.
Carver Bancorp, Inc., the largest African- and Caribbean-American operated bank in the United States, is the holding company for Carver Federal Savings Bank, a federally chartered stock savings bank originally chartered in 1948. Carver became a public company in 1996. Carver had $661 million in assets and $49 million of total stockholders' equity as of March 31, 2006. Carver has approximately 120 employees. For more information about Carver Federal Savings Bank, please visit www.carverbank.com.
About Community Capital Bank
Community Capital Bank, headquartered in downtown Brooklyn, provides banking services to individuals, nonprofits, developers of affordable housing, real estate entrepreneurs, construction firms, and small businesses in all five boroughs of New York City. Community Capital Bank operates two full-service branches at 111 Livingston Street in downtown Brooklyn, and at 140 58th Street at the Brooklyn Army Terminal in Sunset Park. Community Capital Bank has approximately 40 employees. For information about Community Capital Bank, please visit www.communitycapitalbank.com.
