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1st Constitution, Shore Community agree to make supplemental merger disclosures

1st Constitution Bancorp and Shore Community Bank agreed to make supplemental disclosures related to their pending deal to avoid the expense and burden of litigation and to moot the allegations in connection with a complaint that seeks to stop the consummation of the transaction.

The complaint was filed Sept. 9 against 1st Constitution Bancorp and its unit 1st Constitution Bank, as well as Shore Community Bank and its directors, in the Superior Court of New Jersey, Ocean County, Chancery Division.

It purports to have been brought on behalf of all public Shore Community Bank shareholders and seeks to enjoin the defendants from proceeding with the shareholder vote on the deal at the Oct. 18 special meeting of Shore Community Bank shareholders or consummating the proposed merger unless and until the companies disclose allegedly omitted information.

The companies, which believe that all allegations in the complaint are meritless, made the supplemental disclosures without admitting in any way that they are material or otherwise required by law.

Pursuant to the merger agreement, Shore Community Bank will merge with and into 1st Constitution Bank. The deal was valued at about $53.1 million when it was announced in June.