NEWS AND TRIBUNE
NEW ALBANY —
The parent company of Your Community Bank has agreed to purchase an Elizabethtown, Ky., bank, Community Bank Shares of Indiana announced Tuesday.
The stock-exchange deal is valued at about $18 million, according to a press release.
Upon closing, First Federal Savings Bank of Elizabethtown, which is owned by First Financial Service Corporation, will be merged with and into Your Community Bank. At that time, First Federal offices will become branches of Your Community Bank.
Community Bank Shares estimates it will have approximately $1.6 billion in assets and 41 branch offices throughout southeastern Indiana and Kentucky after the transaction closes.
“We are excited to add to our presence in the Louisville and Bardstown markets, while expanding into Elizabethtown and neighboring communities,” James D. Rickard, president and CEO of Community Bank Shares of Indiana, said in the release. “We believe this transaction creates a dynamic community banking franchise across the entire Louisville MSA. The acquisition of FFKY is the second transaction we have undertaken in the last 12 months. These activities are part of an integrated strategy to drive shareholder returns through both organic and acquisition related growth.”
The transaction is expected to close in the late third or fourth quarter of 2014.
Community Bank Shares [Nasdaq: CBIN] is a bank holding company with $846 million in total assets as of March 31 and includes two wholly owned, state-chartered subsidiary banks include Your Community Bank and The Scott County State Bank.
CBIN shares closed up $2.29, or 10.1 percent, to $25 in Tuesday trading.
To learn more, visit yourcommunitybank.com and scottcountystatebank.com