Teachers Credit Union’s Acquisition of New Bancorp, Inc. and New Buffalo Savings Bank

Luse Gorman served as legal counsel to New Buffalo in the transaction.

New Bancorp, Inc. (OTC PINK: NWBB), the holding company of New Buffalo Savings Bank, announced the completion of the purchase and assumption transaction with Teachers Credit Union (“TCU”), pursuant to which TCU has acquired the assets and assumed the liabilities of New Bancorp and New Buffalo in an all-cash transaction. New Buffalo will now begin the process of liquidating pursuant to federal law. Following the liquidation of New Buffalo, New Bancorp will dissolve pursuant to Maryland corporate law and distribute its remaining assets to its stockholders. The liquidation of New Buffalo and the dissolution of New Bancorp are expected to be completed in approximately 120 days.

New Bancorp will be paid a price of $26.00 per share in the transaction. However, the final price per share to be received by stockholders may be less than $26.00 per share based on the level of post-closing expenses and other factors, which are uncertain at this time and stockholders should not assume that they will receive a price of $26.00 per share upon the liquidation of New Bancorp. The distribution to stockholders is expected to occur in the fourth quarter of 2020. However, the liquidation of New Buffalo and the dissolution of New Bancorp may take longer than anticipated and stockholders will not receive the distribution until this process is substantially completed. The distribution date will be announced approximately 20 days prior to the distribution.

The Luse Gorman team consisted of Kip A. Weissman (Picture), Scott A. Brown, Thomas P. Hutton, Gary A. Lax and Zachary Davis.

Involved fees earner: Scott Brown – Luse Gorman, PC; Zachary Davis – Luse Gorman, PC; Thomas Hutton – Luse Gorman, PC; Gary Lax – Luse Gorman, PC; Kip Weissman – Luse Gorman, PC;

Law Firms: Luse Gorman, PC;

Clients: New Buffalo Savings Bank FSB;


Author: Ambrogio Visconti