By: Jeremy Scott
SB Financial Group, Inc. and Edon Bancorp jointly announced an agreement in which Edon Bancorp will be combined with SB Financial transforming Edon State Bank into State Bank. The merger was unanimously approved by the Board of Directors of both bank holding companies and their subsidiary banks.
In a release issued by SB Financial Group, shareholders of Edon Bancorp will receive $103.50 in cash in exchange for each share of Edon Bancorp common stock. The agreement come to approximately $15.5 million in payouts. This amount represents 135% of Edon Bancorp tangible book value per share as of December 31,2019.
“We’re excited to welcome Edon State Bank to the State Bank family,” said State Bank President and CEO, Mark Klein. “Both banks are deeply committed to their employees, their customers, and the communities they serve. We also share similar values of developing authentic relationships with customers, and being their trusted financial advisor.”
Lee Dick, Edon State Bank President and CEO added, “This transaction in beneficial to the shareholders, customers, and communities served by Edon State Bank. We are proud of what we have built here at Edon State Bank and are confident that our customers will continue to receive the community banking experience they have come to know in banking with us, while enjoying access to additional products and services that a larger community bank like State Bank can offer.”
“Both organizations are pillars in their local markets, making this a good opportunity for our employees as well. We have confidence everyone involved will continue to be in good hands.”
SB Financial intends to complete the transaction in the second quarter of 2020 pending regulatory and Edon Bancorp shareholder approval. The combined entity is expected to have $1.1 billion in assets after the merger is complete.
Jeremy can be reached at publisher@thevillagereporter.com