First Maryland to Acquire Dauphin

Dauphin Deposit Corp. agreed to be acquired by First Maryland Bancorp in a $1.3-billion Hdeal that would make Dauphin Deposit Bank and Farmers Bank branches part of the Baltimore-based holding company. The deal is subject to the approval of Dauphin Deposit shareholders and of regulators in the United States and Ireland, where First Maryland’s parent company, Allied Irish Banks, is headquartered. Under terms of the agreement, each share of Dauphin Deposit may be exchanged for either $43 in cash or an equivalent value of AIB American depositary receipts. Dauphin stock surged nearly 16% on the news, jumping $5.625 to close at $41.13 a share on the Nasdaq Stock Market. Allied Irish’s ADRs were off 37.5 cents to $40.63 on the New York Stock Exchange.