- The stock price of 1895 Bancorp of Wisconsin Inc (NASDAQ: BCOW) increased by over 45% during intraday trading (previous close of $10.20 to a day high of $14.80). This is why it happened.
The stock price of 1895 Bancorp of Wisconsin Inc (NASDAQ: BCOW) increased by over 45% during intraday trading (previous close of $10.20 to a day high of $14.80). This is why it happened.
The stock price of 1895 Bancorp of Wisconsin Inc (NASDAQ: BCOW) – the parent company for PyraMax Bank, FSB – increased by over 45% during intraday trading (previous close of $10.20 to a day high of $14.80). Investors are responding to 1895 Bancorp of Wisconsin announcing that the company’s board of directors, together with the Boards of Directors of 1895 Bancorp of Wisconsin, MHC and PyraMax, have unanimously adopted a Plan of Conversion and Reorganization.
Pursuant to the Plan of Conversion, the MHC will sell its majority ownership in 1895 Bancorp of Wisconsin in a “second-step” stock offering. And simultaneously, 1895 Bancorp of Wisconsin – which is currently in the mutual holding company structure – will reorganize to a fully public stock holding company.
As part of the conversion and reorganization, PyraMax Bank will become a wholly owned subsidiary of a new holding company, also to be named 1895 Bancorp of Wisconsin, Inc. And shares of common stock of 1895 Bancorp of Wisconsin held by persons other than the MHC (whose shares will be cancelled) will be converted into shares of common stock of the new holding company pursuant to an exchange ratio generally intended to preserve the percentage ownership interests of such persons. In the stock offering, depositors of PyraMax Bank with qualifying deposits as of December 31, 2019 will have first priority to purchase shares of common stock.
The transactions contemplated by the Plan of Conversion are subject to approval by 1895 Bancorp of Wisconsin’s stockholders (including approval by a majority of the shares held by persons other than the MHC), the voting members of the MHC (depositors of the Bank), the Board of Governors of the Federal Reserve System and the Office of the Comptroller of the Currency.
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