Workflow
Lake Shore Bancorp, Inc. Announces Adoption of Plan of Conversion and Reorganization to Undertake Second Step Conversion

Core Viewpoint - Lake Shore Bancorp, Inc. is undergoing a "second step" conversion from a mutual holding company structure to a stock holding company structure, which will involve regulatory approval and a stock offering to depositors [1][4]. Group 1: Company Structure and Ownership - Lake Shore, MHC currently owns approximately 63.4% of the outstanding shares of common stock of Lake Shore Bancorp, Inc., acquired during the initial public offering in 2006 [2]. - The proposed transaction will create a new stock holding company for the Bank, which will succeed Lake Shore Bancorp, Inc. and offer shares of common stock to depositors in a subscription offering [3]. Group 2: Stock Offering Details - Eligible account holders of the Bank as of December 31, 2023, will have first priority non-transferable subscription rights to subscribe for shares of the new stock holding company [3]. - The total number of shares to be issued will be based on the pro forma market value determined by an independent appraisal, and minority shareholders will receive shares based on an established exchange ratio [3]. Group 3: Timeline and Approvals - The transaction is expected to be completed in the third quarter of 2025, pending regulatory approval and approval from both the members of Lake Shore, MHC and the shareholders of Lake Shore Bancorp, Inc. [4].