Flowers Buys Another Bank

Oct 29 2010 | 1:46am ET

Private equity firm J.C. Flowers & Co. is adding another bank to its growing roster. The New York-based firm has won approval to buy New Jersey’s Saddle River Valley Bank.

The deal represents the first so-called silo deal by a p.e. firm for a bank. The silo structure keeps the bank stake separate from the firm’s other investments. Saddle River will be acquired by seven funds set up by J.C. Flowers for the purpose, according to the Office of Thrift Supervision’s approval letter earlier this month.

Terms of the transaction were not disclosed, Bloomberg News reports. Saddle River has $82.8 million in assets and two branches.

OTS—which will be closed under the Dodd-Frank financial regulation overhaul—was heavily criticized last year for allowing another such takeover in Michigan.

J.C. Flowers founder J. Christopher Flowers bought the former First National Bank of Cainesville, Mo.—now known as Flowers National Bank—in 2008. His p.e. firm is also part of a consortium of hedge funds and p.e. firms that took over IndyMac Bank last year.


In Depth

'Smart Beta' Funds In Regulators' Sights, Hedgies May Be Next

Mar 26 2015 | 11:11am ET

Funds that mimic strategies used by active managers for a fraction of the cost could...

Lifestyle

Study: Both Marriage and Divorce Lead to Negative Hedge Fund Performance

Mar 25 2015 | 6:51pm ET

Trouble at home leads to trouble in the market for fund managers, according to researchers...

Guest Contributor

Concerned About Your HFT Exposure? Hedge It!

Mar 26 2015 | 1:06pm ET

High-frequency trading has been a persistent storyline for several years. The trading...

 

Sponsored Content

    Mar 9 2015 | 6:35am ET

    Kelly RodriquesKelly RodriquesAs more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…

Editor's Note