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Fox Chase Bancorp: Catalysts Present For A Buyout

Executive Summary

    Fox Chase has successfully transformed their deposit mix to heavily favor core deposits for low cost funding. Cost of funding was 2.7% in 2009 and currently stands at 0.6% Fox Chase has diversified their loan portfolio from predominantly consumer focused to commercial focused. Commerical loans have grown 19% annualized since 2009. Gives the Bank higher interest and stickier relationships Management has significant skin in the game owning over 7% of shares outstanding. Excess capital has been deployed by buying back 2.7 million shares since 2010 all at prices below book and a consistent dividend Fox Chase has passed the three year mutual-to-stock conversion anniversary and is a prime target for a takeover. Potential takeover value could be from ...
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