American Bancorp, Investors Bancorp merger on track to close Sunday

By Lisa Kerner

Charlotte, N.C., May 27 - American Bancorp of New Jersey, Inc. said the cash option in its pending merger with Investors Bancorp, Inc. was oversubscribed by shareholders.

According to American Bancorp, shareholders who made a cash election for all or a portion of their shares will receive $12.50 per share for approximately 39% of their cash election shares and will receive 0.9218 shares of Investors Bancorp common stock per share for approximately 61% of their cash election shares.

Shareholders had until May 18 to elect to receive either 0.9218 Investors Bancorp shares, $12.50 in cash or a combination of stock and cash for each American Bancorp share, subject to proration, under the companies' amended merger agreement.

American Bancorp stockholders who made a stock election for all or a portion of their shares will receive 0.9218 Investors Bancorp shares per American Bancorp share.

Shareholders who did not make a valid election will also receive 0.9218 shares of Investors Bancorp common stock for each of their American Bancorp shares.

Cash will be issued in lieu of fractional shares of Investors Bancorp common stock.

The merger agreement calls for 65% of American common stock to be converted into Investors Bancorp common stock and the remaining 35% to be converted into cash.

American Bancorp shareholders approved the merger at the company's annual meeting on May 19. The merger is slated to close on Sunday.

Investors Bancorp, located in Short Hills, N.J., is the holding company for Investors Savings Bank, a New Jersey chartered savings bank.

American Bancorp is the holding company for American Bank of New Jersey, a federally chartered stock savings bank based in Bloomfield, N.J.

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