As long time shareholders in Evans Bancorp, Prime Media Investments is pleased to support, and will vote in favor of, the announced merger with NBT Bancorp.
We congratulate the board of directors for obtaining a price close to the all-time high stock price for Evans. Just in the past year the stock has gained nearly 40 percent. We have had the privilege of talking to members of the board over the years and appreciate their desire to listen to stockholders and do what was best for enhancing shareholder value for everyone involved. Employees, customers and shareholders should benefit from this process. The future with NBT Bancorp looks bright!
People have asked if Prime Media Investments engages in activist investing? The answer is both yes and no. We have never gone hostile on a company and nominated our own slate of candidates for the board of directors. We do however make friendly recommendations. If we believe we can help a business by recommending a spinoff or sale of a division; a stock buyback; a dividend increase; the sale of noncore assets; a CEO succession plan; or frankly, the sale of the entire company; then we will engage in a discussion with the board. In the end, shareholders own the company, the goal of Prime Media Investments is to look out for the best interests of all shareholders.
We have in the past joined with activist investors such as Nelson Peltz, Bill Ackman, Carl Icahn, Daniel Loeb, David Einhorn, ValueAct Capital, Starboard Value, Elliott Management, among others, and voted our shares in favor of their recommendations. We often share the same goal of increasing shareholder value and making sure boards of directors are held accountable to all shareholders.
We are primarily long term investors and even in cases where we may join in voting with an activist we will almost always hold the stock for the long term. We try to invest in good businesses and in most cases our holding period is forever. A good example would be Proctor & Gamble. We joined in voting for activist Nelson Peltz to join the board of directors. Nelson did a great job working with the board to sell off non-core assets and improve productivity. Today, six years later we continue to hold the stock and have no plans to sell.
NBT Bancorp Inc.'s impending acquisition of Evans Bank is the biggest shakeup Western New York's banking industry has seen in years. It's a move many regional banks nationwide may try to emulate in the year ahead.
#NBTBancorp #EvansBank #Buffalo #WNY
Evans Bank deal shows how game has changed for regional banks