The two 150-year-old financial services institutions will better serve customers, employees, and the community together
BIDDEFORD, Maine and GORHAM, Maine, December 7, 2023 — Maine Community Bancorp, MHC, the parent mutual holding company for Maine Community Bank (“Maine Community Bank”), and Gorham Bancorp, MHC, the parent mutual holding company for Gorham Savings Bank (“Gorham Savings Bank”), are pleased to announce that they have entered into a definitive agreement to merge under the Maine Community Bank name. The combined company will be strategically positioned to benefit from enhanced scale and improved opportunities for growth and profitability while remaining committed to its core markets.
Merger At a Glance:
This merger of equals creates the second largest mutual savings bank in Maine with nearly $2.7 billion in assets servicing nearly 76,000 depositors, with the largest branch network in Androscoggin, Cumberland, and York counties.
- Positions the combined institution for growth in their commercial and consumer markets,
- Enhances product offerings and services, while realizing economies of scale,
- Increases capital to support Maine businesses,
- Well aligned mission, vision, and values,
- Builds on commitment to community outreach and involvement, and
- No employee reductions are planned as a result of the merger.
Governance and Leadership
The combined company will be governed by a 16-person Board of Directors consisting of an equal number of Maine Community Bank and Gorham Savings Bank directors. The combined company’s chair of the board will be Maine Community Bank’s current board chair, Jeffrey S. Worthing. Gorham Savings Bank’s current board chair, Kathy Coster, will remain on the combined board, while Gorham Savings Bank’s current vice chair, Jere Michelson will retain his position. Each board enthusiastically and unanimously approved this union. The leadership team of the combined company will be comprised of leadership from both organizations with Gorham Savings Bank’s Steve deCastro serving as chief executive officer and Maine Community Bank’s Jeanne Hulit serving as president. Ms. Hulit will retire 12 months after the merger is finalized.
Operations and Headquarters
The combined company will employ more than 400 banking professionals and be headquartered out of Portland, Maine. Operation Centers remain in Gorham and Westbrook, while the expanded branch network will serve communities throughout Androscoggin, Cumberland, and York counties under the Maine Community Bank charter.
Timing and Approvals
The transaction is expected to close by the third quarter of 2024, subject to the completion of customary closing conditions, including the receipt of regulatory and corporator approvals.
From Jeanne Hulit, president and chief executive officer, Maine Community Bank
“Community banking is the foundation of Maine’s economy, providing the essential funding necessary for businesses to start and grow, providing housing, and helping our communities thrive. This merger of two locally focused banks gives us an even greater ability to meet these needs. Our shared values and commitment to the mission of mutual savings banks has shaped this merger and I look forward to partnering with Steve and the Gorham Savings Bank team.”
From Steve deCastro, president and chief executive officer, Gorham Savings Bank
“Merging our two institutions makes sense across the board and marks an exciting new chapter. Our values and mission align very well, underpinning our commitment to meeting the ever-growing needs of our customers, acting as a force for good in the communities we serve, and providing greater opportunities for our employees. Jeanne and I have known each other for many years and I’m excited about the opportunities ahead, building one even more capable financial services institution that also maintains a local focus.”
Advisors
Piper Sandler & Co. served as financial advisor to Gorham Savings Bank, and Performance Trust Capital Partners served as financial advisor to Maine Community Bank. Goodwin Procter LLP served as legal counsel to Maine Community Bank and Luse Gorman, PC served as legal counsel to Gorham Savings Bank.
About Maine Community Bank
Headquartered in Biddeford, Maine, Maine Community Bank began as a collaboration between two of the state’s longest-standing community banks, Biddeford Savings and Mechanics Savings, and has a rich heritage dating back to 1867. Today, Maine Community Bank continues to thrive with locations in Androscoggin, Cumberland, and York counties, supporting both personal and business customers throughout their communities with competitive services, financial assistance, and the friendly, local experience that is at the core of everything they do. Maine Community Bank is a member FDIC. Learn more at: mainecb.com
About Gorham Savings Bank
Since its founding in 1868, Gorham Savings Bank has delivered financial solutions tailored to the needs of Southern Maine’s businesses and consumers—including complete commercial and consumer banking products and services, as well as investment planning and wealth management. As the only bank headquartered in Cumberland County, Gorham Savings Bank has worked tirelessly to be a force for good in the communities it serves; with hundreds of thousands in donations and many thousands of employee volunteer hours in support of dozens of community-based initiatives annually. Gorham Savings Bank is a member FDIC. Learn more at: gorhamsavings.bank
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