NB Bancorp, Inc. (Needham) finalized its acquisition of Provident Bancorp, Inc. and its subsidiary BankProv on November 15 2025, closing the $211.8 million transaction that adds roughly $2.1 billion in assets and 18 branches to the combined bank.
The deal, announced in June 2025, is expected to be about 19% accretive to NB Bancorp’s earnings per share in 2026. The combined entity will hold approximately $7.1 billion in assets, $5.9 billion in deposits, and $6.1 billion in loans, positioning the bank to capture higher‑margin commercial and construction lending in the North Shore of Massachusetts and New Hampshire.
Under the terms, each share of Provident common stock will be converted into either cash or NB Bancorp shares, with roughly 50% receiving stock consideration and 50% receiving cash. The transaction is structured as a tax‑free merger for shareholders receiving stock, and the proration mechanism ensures a balanced mix of consideration.
The merger adds seven BankProv branches in Massachusetts and New Hampshire to NB Bancorp’s existing 12 branches, bringing the combined bank to 18 branches. The integration will strengthen the bank’s retail and commercial loan portfolio, especially in high‑yielding commercial and construction segments that have driven NB Bancorp’s recent earnings growth.
Management highlighted the strategic fit: “The acquisition expands our presence in high‑growth New England markets and deepens our commercial loan capabilities,” said NB Bancorp CEO. “By combining our community‑banking strengths with BankProv’s established footprint, we can deliver more tailored financial solutions to small and mid‑size businesses.”
The deal is projected to dilute NB Bancorp’s tangible book value by about 6.1%, with an estimated earn‑back period of 2.7 years. The company expects the accretion to materialize as the combined bank leverages scale efficiencies and cross‑selling opportunities across its expanded branch network.
The merger also brings Joseph B. Reilly, former CEO of Provident, onto the boards of NB Bancorp and Needham Bank, signaling a commitment to integrate leadership and preserve BankProv’s culture.
While the fact‑check report did not find market reaction data, the transaction’s size and strategic focus suggest a positive outlook for NB Bancorp’s growth trajectory and shareholder value.
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