First Merchants and Ameriana Bancorp merge their businessStaff writer ▼ | June 30, 2015
First Merchants Corp and Ameriana Bancorp have executed a definitive agreement whereby Ameriana Bancorp will merge with and into First Merchants Corporation, and its wholly owned bank subsidiary, Ameriana Bank, will merge with and into First Merchants Bank, NA.
Merger Ameriana Bancorp will merge into First Merchants Corporation
Based on the closing price of First Merchants’ common stock on June 26, 2015 of $25.13, the transaction value is approximately $68.8 million, with an implied price per share of Ameriana Bancorp common stock of $22.71.
The transaction is expected to be completed in the fourth quarter of 2015, subject to the approval of Ameriana Bancorp shareholders, regulatory approvals, and other customary closing conditions.
The combined financial institutions, which will do business as First Merchants Bank, expect to complete the integration during the second quarter of 2016.
Ameriana Bancorp had assets of approximately $483 million, loans of $325 million and deposits of $391 million as of March 31, 2015. Based upon current financials, First Merchants and Ameriana Bancorp will have combined assets of $6.4 billion and will remain the second largest financial holding company headquartered in Indiana.
The combined company will have 126 banking offices in twenty-seven Indiana counties, as well as two counties in both Ohio and Illinois. ■