HarborOne depositors approve plan to go public

HARBORONE BANCORP depositors have approved the company's plans to go fully public.
HARBORONE BANCORP depositors have approved the company's plans to go fully public.

BROCKTON, Mass. – HarborOne Bancorp Inc. announced Wednesday that its depositors had approved management’s plan to go fully public and change its status as the largest cooperative bank in New England.

The bank will now conduct a second-step stock offering of new shares of common stock. The bank announced its intentions to go fully public in March. It had completed a partial initial public offering in 2016.

HarborOne Bancorp acquired Coastway Bancorp Inc. in October 2018 in an all-cash transaction valued at approximately $125.6 million, expanding the company’s footprint in Rhode Island.

Joseph F. Casey, HarborOne’s executive vice president, chief operations officer and chief financial officer, told PBN at the time of the announcement of the plan to go fully public that the move was driven by a desire for more capital. He said that going public would allow the company to continue its business plan, a “high growth” plan that includes expanding its geography as well as its mortgage company. He also said that the plans included more branches and commercial offices as well as investments.

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As part of the bank’s reorganization that will coincide with going public, the bank will become a wholly owned subsidiary of a new holding company, also named HarborOne Bancorp Inc.

The move was said to have no impact on customers of the bank. Depositors of the bank and formerly of Coastway with qualifying deposits as of Feb. 28, 2018, will have first priority to purchase new shares of common stock.

The plan to go public still requires the approval of the board of governors of the Federal Reserve and the Massachusetts commissioner of banks, according to the bank.

Chris Bergenheim is the PBN web editor. You may reach him at Bergenheim@PBN.com.