Gouverneur Bancorp Inc (OTCMKTS:GOVB) Stock In Focus After a Major Update

One of the companies which had come on to the news cycle this week was Gouverneur Bancorp Inc (OTCMKTS:GOVB), the majority-owned subsidiary unit of Cambray Mutual Holding Company and on May 22 it came up with a key announcement. It is also the parent company of the Gouverneur Savings and Loan Association, a bank.

Gouverneur Bancorp, Inc. Announces Adoption of Plan of Conversion and Reorganization

The company announced that its board of directors, along with the board of directors of Cambray Mutual and the bank had unanimously adopted a Plan of Conversion and Reorganization. As per the Plan of Conversion, Cambray Mutual would sell its majority ownership in Gouverneur Bancorp to the bank and to the public.

The bank would then turn into a fully public stock holding company following the completion of the transaction which is regarded as a ‘second step’ conversion. The ‘second step’ conversion would also involve the bank becoming a fully owned subsidiary unit of the holding company, which would be formed once the transaction is finally closed.

However, it should be noted that the conversion would also need to get the approval of certain borrowers and depositors of the bank as well as the shareholders and that would also include the shareholders of Cambray Mutual.