ngs dilution.
In July 1994, Dime Savings Corporation and Anchor Savings Corporation announced their intention to merge. Both were large thrift institutions, and both had substantial losses during 1989 to 1991 due to portfolios that included troubled real estate loans. Dime operated in New York state, and Anchor operated in New York, New Jersey and Florida. Prior to the merger, Anchor and Dime ranked ninth and tenth, respectively, in assets of savings institutions. Combined, they would possess more than $20 billion in assets and be the fourth largest savings institution within the United States.
The merger took the form of an exchange of one share of Anchor common stock for 1.77 shares of Dime, bringing the total value to $1.2 billion. The merger was approved by the Office of Thrift Supervision (OTS) in December 1994, and the deal closed in early 1995.
The rationale behind the merger was that combining operation
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