The combined bank holding company will have total assets of around $3.3bn, total net loans of around $2.1bn, and nearly $2.7bn in total deposits, as per financial data on 30 September 2021
Comunibanc to be acquired by Civista Bancshares. (Credit: Tumisu from Pixabay)
Civista Bancshares has agreed to acquire rival Ohio-based bank holding company Comunibanc for about $50.2m in a stock and cash deal.
As per financial data on 30 September 2021, the combined bank holding company will have total assets of around $3.3bn, total net loans of around $2.1bn, and approximately $2.7bn in total deposits.
Headquartered in Sandusky, Civista Bancshares is the holding company for Civista Bank. The banking subsidiary operates 35 locations across Northern, Central, and Southwestern Ohio, Southeastern Indiana, as well as Northern Kentucky.
Based in Napoleon, Comunibanc is the parent company for Henry County Bank. The baking subsidiary has seven locations in Henry and Wood counties in Northwest Ohio.
Comunibanc had total assets of $329m and $165m in total loans, as of 30 September 2021.
Civista Bancshares said that the acquisition will enable it to bring its commercial lending platform to the strong markets of Comunibanc and deploy the latter’s excess liquidity position with its 60% loan-to-deposit ratio.
Civista Bancshares CEO and president Dennis Shaffer said: “We have known the Comunibanc team for a very long time and have always admired the franchise and their strong and stable presence in their local communities. We look forward to collaborating with Comunibanc’s leadership team to grow and enhance their banking platform.
“The current Civista team has significant experience operating in the Northwest Ohio market and are very excited to partner with Comunibanc and accelerate growth.”
The deal has been approved unanimously by the boards of directors of both the firms. As per the terms, Comunibanc’s shareholders will be issued 1.1888 shares of Civista and $30.13 in cash.
The deal values Comunibanc’s shares at $60.59 each.
Comunibanc chairman and president Bill Wendt said: “We believe partnering with Civista will provide us the enhanced capacity to deliver the products and services sought by our customers and will accelerate the commercial loan production efforts that we have undertaken in the Northwest Ohio market.
“Our relationship with Civista’s management team is long-dated going back nearly thirty years and we have always felt our two organizations share a similar culture and operating philosophy. This transaction represents a win-win for all of all our stakeholders.”
The deal, which is subject to Comunibanc’s shareholders’ approval, regulatory approvals, and other customary closing conditions, is anticipated to close in Q2 2022.