FULTON FINANCIAL TO ACQUIRE DENVER NATIONAL BANK
FULTON FINANCIAL TO ACQUIRE DENVER NATIONAL BANK LANCASTER, Pa., July 21 /PRNewswire/ -- Fulton Financial Corp.
(NASDAQ-NMS: FULT) announced today that it has signed a letter of intent to acquire the Denver National Bank, Denver, Pa., and merge it into Fulton Bank, the flagship bank of the Lancaster-based bank holding company.
The acquisition is valued at approximately $54 million. Each of the 400,000 shares of Denver National Bank common stock will be exchanged for 6.5 shares of Fulton Financial common stock. In a joint statement, Robert D. Garner, chairman and chief executive officer of Fulton Financial, and Daniel M. Heisey, Denver National Bank president and chief executive officer, said the merger is subject to the negotiation of a definitive merger agreement and to the approval of both boards of directors, Denver National Bank shareholders and regulatory authorities. The merger, which is expected to be finalized during the first quarter of 1993, will give Fulton Bank $1.4 billion in assets and the largest share of the Lancaster County market. Fulton Bank has 34 offices in its four-county service area of Lancaster, Dauphin, Cumberland and Chester. Twenty-two of its offices are located in Lancaster County with another facility currently under construction in New Holland. Denver National Bank has assets of $185 million. Its three offices are located in Denver, Adamstown and Reinholds. The acquisition will increase Fulton Financial's assets to $2.3 billion. Commenting on the transaction, Garner said, "The acquisition of the Denver National Bank will greatly enhance Fulton Bank's presence in northern Lancaster County. Fulton will now have five offices from which to serve the fast-growing area from Akron-Ephrata to the Berks County line." Garner added that the merger "brings together two long-time Lancaster banking institutions which over the years have built their reputations on quality service and community involvement." Fulton Bank began operations in Lancaster County in 1882 and Denver National Bank in 1901. Heisey, speaking on behalf of the board of directors, said, "With the changing environment in the financial services industry, we felt a merger at this time with a bank of Fulton's calibre would be beneficial to our customers, shareholders, the communities we serve and our employees. "The merger will not only allow us to expand our product line, but will enable us to continue with the high level of personal service that our customers have come to expect." The two chief executive officers emphasized that no changes in Denver National Bank personnel are anticipated. Garner pointed out that Fulton Financial was listed as one of the 60 most profitable banks in the nation in the April issue of "United States Banker," a leading industry magazine, and that Denver National Bank has long been recognized as "one of the premier earnings banks in the country." In addition to Fulton Bank, Fulton Financial has five other banking affiliates: Farmers Trust Bank, Lebanon: Swineford National Bank, Middleburg; Lafayette Bank, Easton: First National Bank of Danville, Danville: and Great Valley Savings Bank, Reading. In total, Fulton Financial will operate 71 offices in 10 Pennsylvania counties following completion of the merger with Denver National Bank. /delval/ -0- 7/21/92 /CONTACT: Earl A. Popp of Fulton Financial, 717-291-2616/ (FULT) CO: Fulton Financial Corporation; Denver National Bank ST: Pennsylvania IN: FIN SU: TNM
MP-LJ -- PH019 -- 1242 07/21/92 10:51 EDT
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|Date:||Jul 21, 1992|
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