Shareholders approve bank merger

COXSACKIE―Shareholders for both National Bank of Coxsackie and Ballston Spa National Bank have approved a merger to establish a new financial institution with $1.3 billion in assets.

First announced back in September and given shareholder consent at a special meeting on Tuesday, the unification is anticipated to be completed on April 1, pending satisfaction of the remaining customary closing conditions set forth in the agreement between the companies.

The combined bank will conduct business under the Ballston Spa National Bank (BSNB) charter, with the National Bank of Coxsackie (NBC) locations to be known as “Coxsackie Bank, a division of Ballston Spa National Bank.”

“Both our banks have similar cultures, values and philosophies,” John A. Balli, president and CEO of NBC, has said.

“Joining forces will expand our combined footprint, create a larger, more competitive institution in the Capital Region and open the door to new opportunities for lending, investment and community partnerships,” Balli added.

At the effective time of the merger, each outstanding share of NBC common stock will be converted into the right to receive 0.8065 shares of BSNB such that BSNB shareholders will own approximately 66 percent of the combined company and NBC shareholders will own approximately 34 percent.

The combined company's board of directors will consist of nine directors from BSNB and four directors from NBC. The boards of directors of both banks have already unanimously approved the transaction, with all board members from both sides voting their shares in favor of the merger.

“In addition to the elevated presence in our communities, the combined company will have a larger market capitalization, greater lending limit and increased visibility and liquidity, unlocking value for both sets of shareholders,” Christopher R. Dowd, president and CEO of BSNB, had said.

“Consumers and businesses in the Capital Region have a demonstrated need for personalized service, greater flexibility and diversity in products,” Dowd added. “Together, we can address those needs faster and more effectively.”

Dowd will serve as chief executive officer and Balli will become president of the merged bank.

Founded in 1852, NBC maintains eight branches in Coxsackie, West Coxsackie, Greenville, Athens, Ravena, Middleburgh, Glenmont and Cairo, as well as a loan production office in Latham.

Established in 1838, BSNB has 13 locations across Ballston Spa, Burnt Hills, Clifton Park, Galway, Greenfield Center, Guilderland, Latham, Mechanicville, Voorheesville and Wilton.

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