Merging company

Foxboro Federal Savings to merge with Norwood Bank

Norwood Bank CEO John Galvani poses with Foxboro Federal Savings President Dennis Parente in this undated photo. Photo courtesy of Norwood Bank and Foxboro Federal Savings

Norwood Bank and Foxboro Federal Savings have agreed to a merger that will create a $900 million asset bank with a new name.

The banks said in a joint announcement today that the boards of both banks have approved the deal.

Norwood Bank is a state-chartered cooperative mutual bank with approximately $715 million in assets and one branch. Foxboro Federal Savings has approximately $204 million in assets and three branches in Foxboro, Norfolk and Plainville. The four branches will be retained after the merger.

“This is a merger of two well-capitalized community banks with very similar histories, visions and cultures,” John Galvani, president and chief executive of Norwood Bank, said in a statement. “The goal is to create a bigger, stronger community bank with an expanded branch footprint and more resources to better serve our customers.”

Galvani will remain as president and CEO of the bank after the merger. Dennis Parente, president of Foxboro Federal Savings, will retire and become a member of the combined bank’s board of directors.

“Given the dynamics of the current banking environment, Foxboro Federal must evolve into a larger institution,” Parente said in the release. “The most beneficial way to do this for our customers and employees is to combine with another strong community bank.”

The new name and branding will be developed before the merger is finalized, the statement said. The banks said the new name should be announced before the end of the year. Based on Foxboro Federal Savings’ organizational structure, its customers must approve the merger.

Employees of both banks will retain their jobs and have opportunities for growth, according to the statement.

“This merger will allow us to stay ahead of a rapidly changing banking industry, remain competitive and better invest in our people, technology, products and services,” Galvani said.

The merger will give Foxboro Federal Savings customers access to the Massachusetts Deposit Insurance Fund, which provides insurance on deposit amounts above the $250,000 guaranteed by the FDIC.

This is the fourth merger involving Massachusetts banks announced this year as Cambridge Trust Co. acquires North Andover-based Northmark Bank, East Cambridge Savings Bank acquires Woburn-based Patriot Community Bank and multi-bank holding company Hometown Financial Group acquires Quincy Envision Bank and its merger with Abington Bank.