Multi-state bank holding company WesBanco has completed the acquisition of US-based Farmers Capital Bank for $378.2m.
Image: WesBanco has acquired Farmers Capital Bank. Photo: courtesy of rawpixel / Unsplash.
Based in Frankfort of Kentucky, Farmers Capital Bank is a bank holding firm with one bank subsidiary known as United Bank & Capital Trust.
With total assets of around $1.6bn, the firm operates 4 banking locations in 21 communities across Central and Northern Kentucky. It also manages an insurance company.
WesBanco president and CEO Todd Clossin said: “We are pleased to welcome the customers and employees of Farmers, and its banking affiliate United Bank & Capital Trust Company (‘United Bank’), to the WesBanco family.
“I am excited about our opportunities in Kentucky, as we have grown from not having a presence two years ago to now being a top ten financial institution in the state.”
The merger deal, which was first announced in April this year, has been completed after securing all appropriate regulatory agency approvals.
As per terms of the deal, Farmers shareholders secured 1.053 shares of WesBanco common stock, as well as cash in the amount of $5.00 for each share of Farmers common stock held.
Former branches of United Bank will continue to run under the United Bank name until the data conversion is completed.
United Bank customers will continue to carry out their regular banking transactions at United Bank’s former banking locations, subsequent to the conversion date.
The acquired business will enable WesBanco to expand its existing franchise within Kentucky, and fulfill the gap between its existing Southern Indiana/Kentucky and Southeast Ohio/Huntington, West Virginia markets.
The merger is said to create a multi-state bank holding company with around $12.8bn in total assets.
With around $4.5bn assets under management, the combined entity offers banking and wealth management services via 211 financial centers in Indiana, Kentucky, Ohio, Pennsylvania, and West Virginia.
WesBanco board chairman James Gardill said: “I share Todd’s comments in welcoming the employees and customers of Farmers and United Bank into the WesBanco family.”