March 20, 2023 by Staff Reporter
Last week South Shore Bank and Dedham Savings Bank announced they are merging. The two companies will continue to operate independently under the same parent company.
Dedham Massachusetts-based 1831 Bancorp, MHC, the Mutual Holding Company parent of Dedham Institution for Savings (“Dedham Savings”), and Weymouth, Massachusetts-based South Shore Bancorp, MHC, the Mutual Holding Company parent of South Shore Bank (“South Shore Bank”) are pleased to jointly announce that 1831 Bancorp and South Shore Bancorp have entered into a definitive agreement under which the two holding companies will merge under the 1831 Bancorp, MHC name. Under the terms of the agreement, which is pending regulatory and corporator approval, both Dedham Savings and South Shore Bank will continue to operate independently as two institutions under the parent company 1831 Bancorp, MHC. The agreement has been approved by both Boards of Trustees.
“One of the most appealing things that I see from this opportunity is that we are two strong institutions that are coming together without the pressure to unnecessarily cause immediate disruption to our core businesses or markets the way many mergers do”, Peter Brown, CEO and President of Dedham Savings stated. “We are both disciplined organizations that value our heritage as mutual banks and we will continue to operate that way.” Mr. Brown will remain CEO and President of Dedham Savings and with regulatory approval expected later this year, he will become Chairman and CEO of the combined Mutual Holding
Company.
According to Jim Dunphy, CEO of South Shore Bank, “the ability to have two organizations with similar assets and culture come together positions us well in a highly competitive market and gives us a tremendous opportunity to deploy capital in more ways than we could independently. This will enable us to be smart about our investments and to retain our great employees while best serving clients with whom we have built strong relationships over the years.” Under the combined 1831 Bancorp, MHC, Mr. Dunphy will continue as CEO of South Shore Bank and become President of the combined holding company. Upon Mr. Brown’s planned retirement in three years, Mr. Dunphy will assume the role of CEO of the combined Mutual Holding Company.
“Dedham Savings and South Shore Bank have been serving their markets for 192 and 190 years respectively, so we understand what this commitment means”, added Mr. Brown “This partnership positions our banks well for the future to continue to deliver what our customers need, through the channels they prefer to use – and doing that in the local way they expect from us.”
As of December 31, 2022, the newly combined Mutual Holding Company will have assets in excess of $4 billion and continue to offer traditional and digital banking products and services to consumers, small business and commercial customers. Keefe, Bruyette & Woods served as financial advisor. Luse Gorman served as legal counsel to 1831 Bancorp, and Updike, Kelly & Spellacy, P.C. served as legal counsel to South Shore Bancorp.