US’s regional bank holding company Glacier Bancorp has signed a definitive agreement to purchase a community bank First State Bank, for an undisclosed sum.
Since 2000, the purchase of First State Bank represents Glacier’s 13th acquisition and fourth in Wyoming region, the company said.
Under the terms of the transaction, First State Bank’s holding company Wheatland Bankshares will receive $10.62m in cash and 1,652,000 shares of Glacier common stock.
Once the transaction is completed, which is likely to take place during the second quarter, the acquired entity will be combined into Glacier Bank and operate as a separate bank division under its existing name.
Glacier president and CEO Mick Blodnick said the acquisition will provide experienced management team and staff, geographic expansion into Southeast Wyoming, as well as added diversification to its loan portfolio.
The deal has already been backed by the boards of the acquiring firms and is still subject to regulatory approval and other customary conditions.
DA Davidson & Co and Graham & Dunn served as financial advisor and legal counsel for Glacier, while First State Bank received assistance from St Charles Capital and Fairfield and Woods.
Managing three offices in Wheatland, Torrington and Guernsey, First State Bank offers community banking services to individuals & businesses and had total assets of $281m, gross loans of $179m and total deposits of $249m, as of 31 December 2012.