Massachusetts will get another stock bank this week as Eastern Bank completes its conversion tomorrow and begins trading shares the next day.
Eastern Bank has received all required regulatory approvals to complete the mutual-to-stock conversion, the bank said in a statement, and plans to close the transaction on Oct. 14.
The bank will raise $1.79 billion, as Eastern sells 179,287,828 shares of common stock at $10 per share, including the sale of 14,940,652 shares of common stock to the Eastern Bank employee stock ownership plan, the bank said in the statement.
As part of the conversion to a stock bank, Eastern will donate about 4 percent of the shares, worth $74.7 million, to the Eastern Bank Charitable Foundation.
Eastern Bank had announced in June plans to go public and completed the offering period for its subscription offering on Sept. 16.
Eastern did not conduct community, syndicated or firm commitment public offerings in connection with the conversion, the bank said in the statement, based on the orders received during the subscription offering. Eastern said it would fill valid subscription orders submitted by Eastern Bank’s eligible depositors, its employee stock ownership plan, and employees, officers, directors, trustees and corporators who are not eligible depositors, including all valid orders placed through the bank’s 401(k) plan.
The shares of common stock sold in the offering are expected to begin trading on the Nasdaq Global Select Market on Oct. 15 under the ticker symbol “EBC.” The bank’s holding company will be known as Eastern Bankshares Inc.
