Washington Federal, Inc. has announced that they have completed the merger with Anchor Bank. The company announced earlier this week the signing of a definitive merger agreement which calls for the merger of Anchor with and into the Company, followed by the merger of Anchor’s wholly-owned subsidiary, Anchor Bank, into the Company’s wholly-owned subsidiary, Washington Federal, National Association.
The merger is an all-stock transaction, with the aggregate merger consideration consisting of shares of Washington Federal common stock having a value of approximately $63.9 million. This purchase price is approximately equal to Anchor’s tangible book value as of December 31, 2016.
If consummated, the transaction is expected to be immediately accretive to Washington Federal’s tangible book value per share by $0.19 per share and is estimated to be accretive to earnings per share by $0.05 per year once fully integrated. After closing, the combined company will have 248 offices in eight western states with total assets of approximately $15.3 billion and total deposits of approximately $11.0 billion, based on financial results as of December 31, 2016.
Brent J. Beardall, President and Chief Executive Officer of Washington Federal, commented, “This transaction will enhance Washington Federal’s presence in southwestern Washington by partnering with a bank that has a similar heritage and values. The merger will allow us to establish a commercial banking presence in downtown Tacoma. We look forward to working with Anchor’s professional and experienced bankers to increase our market position and extend them a warm and enthusiastic welcome. Once we complete the transaction, our focus will be on continued great service to every single Anchor and Washington Federal client.”
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