First Niagara Financial Group acquires small-cap Great Lakes Bancorp
First Niagara Financial Group Inc. (Nasdaq: FNFG), the holding company of First Niagara Bank, announced before the opening bell it is acquiring Great Lakes Bancorp Inc. (NYSE: GLK) for about $153 million in cash. Great Lakes Bancorp operates 16 banks in the Buffalo, New York, area.
"This transaction with First Niagara stays true to our vision of being a community bank based in Western New York while also providing our consumer and business customers with a broader array of products and services to best serve their financial needs,” Great Lakes Bancorp CEO Andrew Dorn said in a press release.
Under the terms, Great Lakes stockholders may receive $14 in cash per share, or 0.993 shares, of First Niagra.
The merger will significantly boost Lockport, N.Y.-based First Niagara's market share in the Buffalo region, First Niagara CEO John Koelmel said.
In afternoon trading, shares of the small cap are up $1.05, or 8.75%, at $13.05. Over the last 52 weeks, shares have ranged from $11.35 to $16.80.
