BRIDGEPORT, Conn. and DANVERS, Mass.May 24, 2011 /PRNewswire/ -- People's United Financial, Inc. (PBCT:$12.875,0$-0.155,0-1.19%) and Danvers Bancorp, Inc. (DNBK:$21.39,00$-0.69,00-3.13%) today announced that the deadline for Danvers stockholders to make elections regarding the form of merger consideration to be received in connection with the pending merger of Danvers with and into People's United will expire at 5:00 p.m., New York Time, on June 2, 2011. The closing of the merger, which remains subject to approval by the Office of the Massachusetts Commissioner of Banks and the Massachusetts Board of Bank Incorporation and the satisfaction or waiver of other customary closing conditions, has not yet been scheduled.
Of the approximately 20,686,592 shares of Danvers common stock outstanding as of June 2, 2011:
•the holders of approximately 2,036,786 shares, or 10%, elected to receive People's United stock; •the holders of approximately 17,249,433 shares, or 83%, elected to receive cash; and •the holders of approximately 1,400,373 shares, or 7%, submitted elections expressing no preference as to the form of merger consideration or did not make a valid election.
Should be interesting since PBCT only wants to allow 55% of shareholders to exchange for stock and wants 45% to take cash. By forcing shares on people, PBCT pps can be taken down and basically allows for a lower purchase price on the transaction. Hummm...