A group of Lancaster County investors has withdrawn its acquisition offer for West Chester-based Stonebridge Bank, writes Jeff Blumenthal for the Philadelphia Business Journal.
According to Mark McCollom of Griffin Financial Group, the group’s investment banker, they simply ran out of time. He said that the deal that was set to expire on June 30, had still not received the required regulatory approval.
While the Federal Reserve did sign off on the deal, the Pennsylvania Department of Banking and Securities had asked the investors to postpone their closing date.
The investors had already been delayed once before, from the original closing date of Dec. 31, 2016, due to delays in regulatory approval. At that time, the investors withdrew their application to buy the Chester County bank and resubmitted it in January.
“Many of these investors put their money in more than a year ago,” said McCollom. “So I think it was the view of the founders that if they couldn’t get regulatory approval by June 30, they would take the money out of escrow and return it to the investors with interest.”