WILLIMANTIC, Conn., Sept. 6, 2013 (GLOBE NEWSWIRE) -- SI Financial Group, Inc. (Nasdaq:SIFI), the holding company for Savings Institute Bank and Trust Company, today announced the completion of its acquisition of Newport Bancorp, Inc., the holding company for Newport Federal Savings Bank. As a result of the merger, Newport Bancorp was merged with and into SI Financial, with SI Financial as the surviving entity, and Newport Federal Savings Bank was merged with and into Savings Institute Bank and Trust Company, with Savings Institute Bank and Trust Company as the surviving entity.
Rheo A. Brouillard, SI Financial's President and Chief Executive Officer, said, "We are very pleased to announce the completion of our acquisition of Newport Bancorp and believe this combination presents a tremendous opportunity to expand our presence into attractive markets in Rhode Island. We appreciate the positive response that we have received since we first announced the transaction within the community and from our new and existing clients. We are very proud of our staff, including the newly added staff as a result of this acquisition, for their diligence and professionalism in making this a very successful integration. We anticipate that this transaction will be accretive to earnings in the first year, excluding one-time transaction related expenses, improve efficiencies and enhance shareholder value."
Effective as of the completion of the acquisition, former Newport President and Chief Executive Officer Kevin M. McCarthy and former Newport Bancorp directors William R. Harvey and Kathleen A. Nealon were appointed to the Board of Directors of SI Financial and Savings Institute Bank and Trust Company.Keefe, Bruyette & Woods, a Stifel Company, served as financial advisor to SI Financial Group and Kilpatrick Townsend & Stockton LLP acted as SI Financial Group's legal counsel. In addition, both Keefe, Bruyette & Woods, a Stifel Company, and Northeast Capital & Advisory, Inc. rendered fairness opinions to SI Financial Group in connection with the transaction. Sandler O'Neill & Partners, L.P. acted as financial advisor to Newport Bancorp and Luse Gorman Pomerenk & Schick, P.C. acted as its legal counsel. Sandler O'Neill & Partners, L.P. rendered a fairness opinion to Newport Bancorp in connection with the transaction.