1. Investment Snapshot
2. Thesis
3. Valuation & Price Target
4. Business & Product Moat
5. People & Governance
6. Market & Macro
7. Financial Quality
8. Risk Register
9. Prediction Market
10. 𝕏 Posts
Discussion
1. Investment Snapshot
2. Thesis
3. Valuation & Price Target
4. Business & Product Moat
5. People & Governance
6. Market & Macro
7. Financial Quality
8. Risk Register
9. Prediction Market
10. 𝕏 Posts
Discussion
1. Investment Snapshot
2. Valuation
Discussion
Symbol
ECBK
Event Date
2022-07-27
Sector
Financials
Subsector
Banks
Offer Range
$10.00
Shares Offered
8.92M
9.18M
$91.8M
97.2%
Implied Upside vs Midpoint
Description
ECB Bancorp is a newly formed Maryland corporation that will own all of the outstanding shares of common stock of Everett Co-operative Bank upon completion of the conversion and the offering. ECB Bancorp has not engaged in any business to date. Everett Co-operative Bank is a Massachusetts-chartered mutual cooperative bank headquartered in Everett, Massachusetts. Everett Co-operative Bank was organized in 1890 and has operated continuously in Everett, Massachusetts since this time. We conduct business from our two full-service banking offices located in Everett, Massachusetts and Lynnfield, Massachusetts which are located in the greater Boston metropolitan area in Middlesex and Essex Counties, respectively. Everett is adjacent to Boston and is approximately three miles from Boston’s downtown financial district, and Lynnfield is located approximately 10 miles to the north in Essex County. We consider our deposit market area to be Middlesex, Essex and Suffolk Counties, Massachusetts and our primary lending area to be these Counties as well as Norfolk County, Massachusetts, which are located primarily within the Route 128 corridor outside of Boston. Our business consists primarily of taking deposits from the general public and investing those deposits, together with funds generated from operations, in one- to four-family residential real estate loans, commercial real estate and multifamily real estate loans, construction and land loans and home equity lines of credit. At December 31, 2021, $259.7 million, or 49.8%, of our total loan portfolio was comprised of one- to four-family residential real estate loans, $100.0 million, or 19.2%, of our total loan portfolio was comprised of commercial real estate loans, $70.7 million, or 13.5%, of our total loan portfolio was comprised of construction loans, $59.5 million, or 11.4%, of our total loan portfolio was comprised of multifamily real estate loans and $26.1 million, or 5.0%, of our total loan portfolio was comprised of home equity lines of credit. We also invest in securities, consisting primarily of U.S. government and federal agency obligations, mortgage-backed securities and corporate bonds. We offer a variety of deposit accounts, including certificate of deposit accounts, IRAs, money market accounts, savings accounts, demand deposit accounts and interest-bearing and noninterest-bearing checking accounts. We historically have utilized advances from the Federal Home Loan Bank of Boston (the “FHLB”) to fund our operations and we had $9.0 million of FHLB advances outstanding at December 31, 2021. Additionally, in recent years, we have also accepted brokered deposits as a non-retail funding source to fund our operations. For the years ended December 31, 2021 and 2020, we had net income of $4.0 million and $4.9 million, respectively. Our 2021 net income was affected by an after-tax charge of $1.4 million related to our freezing of and withdrawal from a defined benefit plan. Our current business strategy includes continuing to focus on growing our commercial real estate and multifamily lending portfolios as well as our one- to four-family residential real estate loan portfolio. By growing our commercial real estate and multifamily loans, we also will continue to focus on growing commercial deposit relationships to grow our core source of funds. Additionally, we intend to continue to focus on expanding our online banking products and services to ensure that our customers continue to enjoy the local bank experience with optimal convenience and efficiencies necessary to compete with larger financial institutions. Everett Co-operative Bank is subject to comprehensive regulation and examination by the Massachusetts Commissioner of Banks (the “Commissioner”), as its chartering agency, and the Federal Deposit Insurance Corporation (“FDIC”) as its primary federal regulator and primary insurer of its deposits. Our executive offices are located at 419 Broadway, Everett, Massachusetts 02149. Our telephone number at this address is (617) 387-1110. Our website address is www.everettbank.com.
ECB Bancorp, Inc. /MD/ annual income statement and balance sheet, FY 2022 to FY 2025, as reported in SEC filings.
| Metric | FY 2022 | FY 2023 | FY 2024 | FY 2025 |
|---|---|---|---|---|
| Revenue | — | — | $577K | $598K |
| Net income | $2.7M | $4.5M | $4.0M | $7.8M |
| Metric | FY 2022 | FY 2023 | FY 2024 | FY 2025 |
|---|---|---|---|---|
| Total assets | $1.1B | — | $1.4B | $1.6B |
| Total liabilities | $902M | — | $1.2B | $1.4B |
| Total equity | $163M | — | $168M | $172M |