A deal between Dime Community and Bridge Bancorp was delayed, and nearly derailed, by the coronavirus outbreak. Here’s how the two sides kept it on track.
The company, which expressed concerns about the validity of some of the loans it bought, renegotiated a lower price and protections from the seller involved in the deal.
The San Diego bank first considered finding a buyer two years ago and had offers in early 2019. The price of the deal it finally reached in the throes of the pandemic was much lower than some earlier offers.
Deal activity, already on pace for its slowest year in more than two decades, will likely remain suppressed until bankers get a handle on credit exposure and more clarity on valuations.
Chris Gorman, the Cleveland company's chairman and CEO, said at an industry conference that an ongoing shift to digital channels provides an “opportunity to continue to ramp up" efforts to shutter physical locations.
