Central Bancshares in Muscatine, Iowa, stated it prepares to obtain McLaughlin Holding Co. in Moline, Illinois.
Central, the moms and dad of the $1.1 billion-asset CBI Bank & Trust, stated in a news release the offer was anticipated to close in the 3rd quarter, with systems conversions to follow in 2024. Pricing and deal terms were not divulged. McLaughlin is the moms and dad of the $341 million-asset SENB Bank, which will be combined into CBI Bank & Trust.
“We are excited to partner with SENB Bank,” Greg Kistler, Central’s president and CEO, stated in the Friday release. “They share our core community banking philosophy: empowered local management and employees dedicated to serving our customers and communities.
“After the acquisition is finished, clients will not see any instant modifications,” Kistler added. “The bank will continue to run at the exact same places, supported by the exact same friendly officers and personnel. In short, it will be service as normal, supported by the monetary strength and resources of a bigger moms and dad company.”
Terry Esch, president of McLaughlin and SENB Bank, called the planned combination “a terrific chance and an outstanding suitable for both companies.”
Central has 17 branches, and its trust and financial investment departments handle combined customer properties of about $1.4 billion. Central would have overall properties of almost $1.5 billion after the offer closes.
SENB Bank serves the Quad Cities market, which straddles Iowa and Illinois, in addition to the Rockford, Illinois, location and surrounding markets in Wisconsin. It has 6 branches, according to its site.
Cummings & Co. and Barack Ferrazzano Kirschbaum & Nagelberg encouraged Central on the deal. Olsen Palmer and Dickinson Wright encouraged McLaughlin.