Recent bank buyouts have been reported on both coasts and in the Midwest.
Pacific Northwest banks ink agreement
Two Washington-based banks have entered a purchase agreement. Banner Corp. in Walla Walla has agreed to buy Pacific Financial in Aberdeen. The $16.3 billion-asset Banner said in a press release that it will pay $177 million in stock for the parent of the $1.3 billion-asset Bank of the Pacific. The deal, which is expected to close in the third quarter, priced Pacific Financial at 154% of its tangible book value.
Bank of the Pacific has 18 branches, $762 million in loans and $1.1 billion in deposits.
A deal in New England
Cambridge Financial Group in Cambridge, Massachusetts, has agreed to buy First Seacoast Bancorp in Dover, New Hampshire.
The $7 billion-asset Cambridge will pay $80.9 million in cash for the $599 million-asset First Seacoast. The deal is expected to close in the third quarter.
Show-Me State bank deals
In a meeting of Missouri banks, Hawthorn Bancshares in Jefferson City has agreed to buy FSC Bancshares in Cameron.
The $1.8 billion-asset Hawthorn said in a press release that it will pay $28.3 million in cash and stock for the parent of the $384 million-asset Farmers State Bank. The deal is expected to close in the third quarter.
Hawthorn said the deal should be 20% accretive to its earnings per share. It will take about three years for the company to earn back roughly 9.8% dilution to its tangible book value.
M&A News is reported by Paul Davis and reprinted with permission as an adaptation of the material from TheBankSlate.com.
