Bryn Mawr Bank Corporation and MidCoast Community Bancorp, Inc. have dropped a $33 million merger that was announced in the spring
The costs of walking away from the agreement will be borne by each bank without penalty.
Brwyn Mawr, which was profiled in a recent edition of the Business Bulletin, has enjoyed strong earnings and was looking to expand its presence in Delaware after last year acquiring some assets of the former First Bank of Delaware. It continues to operate a former First Bank branch office under the Bryn Mawr Trust name in north Wilmington and also has wealth management operations in the state.
In the meantime, published reports indicated that James Ladio, CEO of MidCoast, left MidCoast. An interim CEO of MidCoast has been named. He had been slated to run the MidCoast after Brwyn Mawr acquired the bank. He was a founder of MidCoast, Delaware’s newest bank.
The most recent Federal Deposit Insurance Corp. report showed that net income at MidCoast dropped by half, as of June 30, to $326,000 when compared to the same period a year earlier. It also had $558,000 in owned real estate (real estate that goes back to the lender) at the end of June of this year, when compared to none a year earlier, the FDIC report indicated.
Brwyn Mawr Trust is in the top tier of banks in terms of profitability and may not have wanted the acquisition to hinder that performance.
MidCoast has three branches in northern Delaware and one in Dover. The bank is headquartered on the Wilmington riverfront.
