LINKBANCORP nears sale of New Jersey operations

Published 26/03/2025, 21:20
LINKBANCORP nears sale of New Jersey operations

CAMP HILL, Pa. - LINKBANCORP, Inc. (NASDAQ: LNKB), the parent company of LINKBANK, has received all necessary regulatory approvals to finalize the sale of its New Jersey operations to American Heritage Federal Credit Union, based in Philadelphia, Pennsylvania. The transaction is expected to be completed by March 31, 2025, contingent upon the satisfaction of customary closing conditions. The $260.48 million market cap company, which currently trades below its InvestingPro Fair Value, has demonstrated strong financial performance with a 255.7% revenue growth in the last twelve months.

The strategic divestiture includes three LINKBANK branches along with their associated loans, deposits, and fixed assets. This move follows LINKBANCORP’s acquisition of these branches during its merger with Partners Bancorp in November 2023. According to InvestingPro data, two analysts have recently revised their earnings expectations upward for the upcoming period, suggesting positive sentiment about the company’s strategic decisions.

LINKBANCORP, established in 2018, operates as a community bank aiming to make a positive impact on the lives of individuals, families, nonprofits, and business clients. Serving areas across Pennsylvania, Maryland, Delaware, Virginia, and New Jersey, LINKBANCORP maintains 27 client solutions centers and an online presence through its website. The company’s common stock is publicly traded on the Nasdaq Capital Market under the ticker symbol "LNKB." The bank currently offers an attractive 4.3% dividend yield, trading at 0.93 times book value.

The press release also included forward-looking statements regarding the sale and the company’s future, cautioning that these statements involve risks and uncertainties that could cause actual results to differ materially from those anticipated. Factors that could influence these outcomes include integration challenges, economic trends, competition, consumer demand, regulatory changes, and cybersecurity risks. For deeper insights into LINKBANCORP’s financial health and growth potential, including additional exclusive ProTips and detailed metrics, visit InvestingPro.

This news is based on a press release statement from LINKBANCORP, Inc. and does not include any promotional content or endorsements of claims. The information presented is intended to provide a balanced and factual report on the upcoming sale of LINKBANCORP’s New Jersey operations.

In other recent news, LINKBANCORP, Inc. reported a record net income of $7.6 million for the fourth quarter of 2024, up from the previous quarter’s $7.1 million. The net income per diluted share increased to $0.20, with adjusted earnings per share reaching $0.21. The company also announced a quarterly cash dividend of $0.075 per share, payable in March 2025. LINKBANCORP’s total deposits grew by 7.36% year-over-year, reaching $2.36 billion, while total loans increased by 5.99% to $2.26 billion. The company saw a slight improvement in its net interest margin, which rose to 3.85%, and its noninterest expense decreased to $18.3 million. Additionally, LINKBANCORP streamlined its board of directors, reducing the number of members to eleven, a decision set to take effect at the 2025 annual shareholders’ meeting. The company also entered into an agreement to sell its New Jersey branches to American Heritage Federal Credit Union, with the transaction expected to close in the first quarter of 2025. These developments reflect LINKBANCORP’s ongoing efforts to enhance efficiency and strategic performance.

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