HERITAGE NOLA BANCORP, INC. ANNOUNCES COMPLETION OF PURCHASE AND ASSUMPTION TRANSACTION BETWEEN HERITAGE BANK OF ST. TAMMANY AND ONPATH FEDERAL CREDIT UNION

Rhea-AI Summary

Heritage Nola Bancorp (OTC Pink: HRGG) announced that effective April 1, 2026, Heritage Bank completed a purchase and assumption transaction with OnPath Federal Credit Union in which OnPath purchased substantially all assets and assumed substantially all liabilities.

Shareholders are currently estimated to receive $20.00 to $20.75 per share in cash upon dissolution, subject to variation; distributions are expected in Q4 2026 as Heritage Bank and the company complete liquidation and dissolution processes.

Positive

• Per-share estimate of $20.00–$20.75 in cash
• OnPath purchased substantially all assets and assumed substantially all liabilities
• Distribution timing expected in Q4 2026

Negative

• Per-share consideration subject to significant variation due to taxes and costs
• Liquidation and dissolution costs may reduce shareholder proceeds
• Payments to certain former depositors from a liquidation account may affect available cash

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COVINGTON, La., April 1, 2026 /PRNewswire/ -- Heritage Nola Bancorp, Inc. ("Heritage NOLA Bancorp") (OTC Pink: HRGG), the holding company for Heritage Bank of St. Tammany ("Heritage Bank"), and OnPath Federal Credit Union ("OnPath") today announced that effective April 1, 2026, Heritage Bank and OnPath completed their purchase and assumption transaction in which OnPath purchased substantially all of Heritage Bank's assets and assumed substantially all of Heritage Bank's liabilities, including all deposit liabilities ("P&A Transaction").

Based on the Company's financial condition at the closing date, shareholders are currently estimated to receive in the dissolution of the Company between $20.00 and $20.75 in cash in exchange for each share of the Company's common stock owned (the "per share consideration"), but, as previously disclosed, the per share consideration is subject to significant variation based on various factors including the amount of corporate taxation to be paid by the Company in the P&A Transaction; the costs associated with the liquidation account; the amount of cash held by the Company at the closing of the dissolution; costs related to the liquidation and the distribution of the Bank's remaining assets to the Company; and costs related to the dissolution and the distribution of the Company's remaining assets to its shareholders. Based on these factors, investors should not assume that the ultimate per share consideration distributed to shareholders will be within the range set forth above.  Distribution of the per share consideration is expected to be made in the fourth quarter of 2026.

Heritage Bank will now begin the process of liquidating and distributing its remaining assets to the Company. Following the liquidation of Heritage Bank, the Company will dissolve and distribute its remaining assets to its stockholders. As part of the liquidation and dissolution processes, payments will be made to certain former depositors of Heritage Bank in accordance with a liquidation account that Heritage Bank maintains and that was established in connection with Heritage Bank's mutual to stock conversion in 2017.

Forward-Looking Statements

This press release contains forward-looking statements.  Forward-looking statements are not historical or current facts and they often include words like "believe," "expect," "anticipate," "estimate," "intend" or similar terminology.  Factors that could cause actual results to differ materially from those expected include delays in completing, and material changes to the assumed expenses associated with, the liquidation of Heritage Bank and the dissolution of the Company.  Except as required by law, neither the Company nor Heritage Bank undertakes any obligation to update any forward-looking statement to reflect circumstances or events that occur after the date the forward-looking statement is made.

Contact for Heritage NOLA Bancorp and Heritage Bank:

David Crumhorn
President and Chief Executive Officer
(985) 273-3555
DCrumhorn@heritagebank.org

View original content:https://www.prnewswire.com/news-releases/heritage-nola-bancorp-inc-announces-completion-of-purchase-and-assumption-transaction-between-heritage-bank-of-st-tammany-and-onpath-federal-credit-union-302726853.html

SOURCE Heritage NOLA Bancorp, Inc.

FAQ

What did Heritage Nola Bancorp (HRGG) announce on April 1, 2026 about the transaction?

The company announced that effective April 1, 2026, OnPath purchased substantially all Heritage Bank assets and assumed substantially all liabilities. According to the company, this P&A transaction triggers Heritage Bank's liquidation and the company's planned dissolution and distribution to shareholders.

How much cash per share are HRGG shareholders estimated to receive after dissolution?

Shareholders are currently estimated to receive between $20.00 and $20.75 per share in cash. According to the company, that estimate is preliminary and may vary based on taxes, liquidation costs, and remaining cash at distribution.

When is Heritage Nola Bancorp (HRGG) expected to distribute cash to shareholders?

Distribution of per-share consideration is expected in the fourth quarter of 2026. According to the company, distributions follow Heritage Bank's liquidation and the company's dissolution and depend on final tax and liquidation calculations.

What factors could change the estimated per-share cash payout for HRGG shareholders?

The estimate may change due to corporate taxation, liquidation account obligations, cash on hand at closing, and dissolution expenses. According to the company, these specific costs will materially affect the final per-share distribution.

Will former depositors receive payments related to Heritage Bank's liquidation?

Yes, payments will be made to certain former depositors under an established liquidation account tied to the 2017 mutual-to-stock conversion. According to the company, those payments are part of the liquidation process and affect available funds.

What are the next operational steps after the P&A transaction for HRGG and Heritage Bank?

Heritage Bank will liquidate and distribute remaining assets to the company, then the company will dissolve and distribute assets to stockholders. According to the company, these sequential steps precede final shareholder distributions in Q4 2026.