VINELAND, N.J., July 13 /PRNewswire-FirstCall/ -- Colonial
Financial Services, Inc. ("Colonial Financial Services" or the
"Company") (Nasdaq: COBKD), announced today that it has completed
its second-step conversion and related public stock offering.
Colonial Bank, FSB is now 100% owned by Colonial Financial
Services and Colonial Financial Services is 100% owned by public
stockholders. The Company sold a total of 2,295,000 shares of
common stock in the subscription, community and syndicated
community offerings, including 91,800 shares to the Colonial Bank,
FSB employee stock ownership plan. All shares were sold at a
purchase price of $10.00 per share.
Stifel, Nicolaus & Company, Incorporated acted as selling
agent for the subscription offering and community offering portions
of the offering. Stifel, Nicolaus & Company, Incorporated
also acted as sole book-running manager for the syndicated
community offering portion of the offering.
Concurrent with the completion of the offering, shares of common
stock of Colonial Bankshares, Inc., a federal corporation, owned by
public stockholders have been converted into the right to receive
0.9399 shares of the Company's common stock. Cash in lieu of
fractional shares will be paid at a rate of $10.00 per share. As a result of the
offering and the exchange, the Company now has approximately
4,173,444 shares outstanding and a market capitalization of
approximately $41.7 million.
The shares of common stock sold in the offering and issued in
the exchange will begin trading on the NASDAQ Global Market on
July 13, 2010 under the symbol
"COBKD" for a period of 20 trading days and will thereafter trade
as "COBK." Stock certificates for shares purchased in the
subscription offering and community offering are expected to be
mailed to purchasers on or about July 13,
2010. Colonial Bankshares stockholders holding shares
in street name or in book-entry form will receive shares of Company
common stock within their accounts. Colonial Bankshares
stockholders holding shares in certificated form will be mailed a
letter of transmittal on or about July 19,
2010 and will receive their shares of Company common stock
and a check representing cash in lieu of fractional shares after
submitting their stock certificates and a properly completed letter
of transmittal to the Company's transfer agent.
Luse Gorman Pomerenk &
Schick, P.C., Washington, DC,
served as special counsel to Colonial Financial Services and
Colonial Bankshares for the conversion and offering.
Sonnenschein Nath & Rosenthal LLP, Washington, DC, served as special counsel to
Stifel, Nicolaus & Company, Incorporated. RP Financial, LC.,
Arlington, Virginia, served as
independent appraiser for the conversion and offering.
This press release may contain certain forward-looking
statements about the Company. Forward-looking statements
include statements regarding anticipated future events and can be
identified by the fact that they do not relate strictly to
historical or current facts. They often include words such as
"believe," "expect," "anticipate," "estimate," and "intend" or
future or conditional verbs such as "will," "would," "should,"
"could," or "may." Forward-looking statements, by their
nature, are subject to risks and uncertainties. Certain
factors that could cause actual results to differ materially from
expected results include increased competitive pressures, changes
in the interest rate environment, general economic conditions or
conditions within the securities markets, and legislative and
regulatory changes that could adversely affect the business in
which the Company and its subsidiaries are engaged.
SOURCE Colonial Financial Services, Inc.