Community Bank System has completed its merger with Merchants Bancshares and its banking subsidiary, Merchants Bank.
As a combined financial institution, Community Bank System will have approximately $11.0 billion in assets and $8.9 billion in deposits, and expand its banking footprint across the State of Vermont and into Western Massachusetts.
Mark E. Tryniski, President and Chief Executive Officer of Community Bank System commented, “We are excited to welcome the customers, employees, and stockholders of Merchants to Community Bank. Merchants Bank has a rich tradition of community banking and serving its local communities and that tradition will continue.
"Community Bank is pleased to be expanding its footprint into New England and is committed to our new employees and customers and the communities in which they live and work. With this acquisition, we open a new chapter as a financial institution with over $10 billion in assets and are well positioned for the opportunities that lie ahead.”
In conjunction with the closing of the merger, two Merchants directors, Jeffrey L. Davis, the former Chair of the Board of Directors of Merchants, and Raymond C. Pecor, III, have been appointed to the Boards of Directors of Community Bank System, Inc. and Community Bank, N.A.
Under the terms of the Agreement and Plan of Merger (“Merger Agreement”), Merchants stockholders were entitled to elect the form of merger consideration to be received in the transaction. Most of the Merchants stockholders who submitted election forms by the election deadline of May 9, 2017 made the “all-stock” election to receive their merger consideration solely in the form of shares of Community Bank System common stock.
The Exchange Agent, American Stock Transfer & Trust Company, LLC, is in the process of determining the allocation and proration of the merger consideration in accordance with the Merger Agreement, and the final results will be reported in a separate press release as soon as the information becomes available.