State of the Pipeline – March 2026

This feature has the latest news from the mutual bank conversion sector. As of March 25, five conversions were in the pipeline.

Carteret, New Jersey-based URSB Bancorp Inc.'s mutual-to-stock conversion offering priced at the supermax. The shares are expected to begin trading March 27.

According to the prospectus, many of the one- to four-family, multifamily, commercial and industrial (C&I), and consumer loans at URSB Bancorp unit United Roosevelt Savings Bank have been purchased rather than originated internally. As of Sept. 30, 2025, the balance of purchased C&I loans from BHG Financial, formerly known as Bankers Healthcare Group LLC, was $35.3 million, or 12.5% of the bank's loan portfolio.

United Roosevelt began buying C&I loans from BHG in early 2016. The bank also started buying participation interests in syndicated leveraged lending loans in November 2023 from BancAlliance Inc.; the balance of that exposure on Sept. 30, 2025, was $4.0 million. Additionally, United Roosevelt began purchasing consumer loans from BHG and Woodside Credit LLC in the second quarter of 2025 and from LendingClub Corp. in the first quarter of 2025.

On March 13, CSB Financial Inc., the proposed holding company for Bethel, Ohio-based Community Savings Bank, filed a registration statement for a mutual-to-stock conversion. Community Savings began buying consumer loans from BHG in the second quarter of 2024. The consumer loan portfolio, virtually all of which came from BHG, comprised 18.7% of the bank's total loans as of year-end 2025. In the filing, the bank said, "We intend to continue to purchase unsecured consumer loans." The bank also disclosed that it has purchased C&I loans from BHG and that the majority of its one- to four-family loans are secured by nonowner-occupied properties.

Also on March 13, Poughkeepsie, New York-based Rhinebeck Bancorp Inc. filed a registration statement for a second-stage conversion. The exchange ratio for the newly issued shares is between 1.0367 at the minimum of the offering range and 1.4026 at the maximum. There is no supermax level. At the end of 2025, nonowner-occupied commercial real estate accounted for 27.3% of the bank's loan portfolio and indirect auto represented another 22.3%.

In the filing, Rhinebeck Bancorp said, "While we still plan to originate indirect automobile loans, over the past four years and for the foreseeable future we have actively decreased our indirect automobile portfolio by decreasing loan originations through increased pricing and more selective underwriting criteria."

Rhinebeck Bancorp also noted that it no longer originates residential mortgage loans directly and doesn't offer construction or rehabilitation loans for one- to four-family properties.

PSB Financial Inc. has filed a prospectus for a mutual-to-stock conversion. PSB is the proposed holding company for Pioneer State Bank, the successor to Deer Lodge, Montana-based Pioneer Federal Savings and Loan Association. The price to pro forma tangible book value as of Dec. 31, 2025, was between 41.5% at the minimum of the offering range and 53.7% at the supermax. The closing date for the offering is April 21.

In the filing, PSB said, "We are considering branching opportunities that may arise in our primary market area, including a potential branch office in western Montana in late 2026 or the first six months of 2027."

On Feb. 2, Fair Lawn, New Jersey-based Columbia Financial Inc. announced a relatively rare type of transaction: a mutual bank conversion plus a bank acquisition. Columbia's announcement was for a second-stage conversion and the simultaneous acquisition of Woodbridge, New Jersey-based Northfield Bancorp Inc.

Click here for background information on the acquisition.

Then on March 6, Columbia filed its conversion registration statement. The exchange ratio ranges from 1.8729 at the adjusted minimum of the offering range to 2.534 at the maximum. As with Rhinebeck Bancorp, there is no supermax. Following the transaction, Columbia intends to pay a quarterly cash dividend of 5 cents per share.

Download a template showing the conversion pipeline, market performance of recent conversions, valuations of mutual holding companies and a list of conversion candidates.