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Mid Penn Bancorp Receives Regulatory Approvals for USD 82m First Priority Acquisition.

M2 EQUITYBITES-June 12, 2018-Mid Penn Bancorp Receives Regulatory Approvals for USD 82m First Priority Acquisition

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12 June 2018 - Pennsylvania, US-based bank holding company Mid Penn Bancorp, Inc. (NASDAQ: MPB) and First Priority Financial Corp. (OTCQX: FPBK) have received all required approvals from the applicable bank regulatory agencies to complete their proposed merger, the companies said.

In January, Mid Penn Bancorp and First Priority Financial agreed that Mid Penn will acquire First Priority in an all-stock transaction valued at approximately USD 82m.

Pending receipt of approval from shareholders of Mid Penn and First Priority, Mid Penn intends to close the transaction in 1Q18.

Following completion of the merger, First Priority Bank will be merged with and into Mid Penn Bank and will operate as "First Priority Bank, a division of Mid Penn Bank."

Under the terms of the merger agreement, shareholders of First Priority common stock will receive 0.3481 shares of Mid Penn common stock for each share of First Priority common stock they own. The transaction is expected to be accretive to earnings per share with a tangible book value dilution earn back in under three years.

The merger will expand Mid Penn's footprint into southeastern Pennsylvania markets, creating a community banking franchise with approximately USD 2.2bn in assets, USD 1.8bn in deposits and USD 1.6bn in loans.

Mid Penn Bancorp, Inc. has 29 retail locations in the state of Pennsylvania. The bank offers a comprehensive portfolio of products and services to meet the banking needs of the communities it serves.

First Priority Financial Corp. has total assets of approximately USD 610m. First Priority provides personal banking, business banking and wealth management services through its seven locations.

Sandler O'Neill + Partners, L.P. served as financial advisor and Pillar+Aught served as legal advisor to Mid Penn in the transaction. Griffin Financial Group LLC acted as financial advisor and Stevens and Lee, P.C. acted as legal advisor to First Priority.

The merger will expand Mid Penn's footprint into the desirable demographic markets of southeastern Pennsylvania, including Chester, Berks, Montgomery and Bucks counties. Mid Penn, on a pro forma basis following completion of the merger, will have over USD 2bn in assets.

Mid Penn Bancorp, Inc. (NASDAQ: MPB), headquartered in Millersburg, Pa., has been serving the community since 1868. Mid Penn has 29 retail locations in the state of Pennsylvania and total assets of approximately USD 1.4bn.

Its footprint includes Cumberland, Dauphin, Fayette, Lancaster, Luzerne, Northumberland, Schuylkill and Westmoreland counties. The bank offers a comprehensive portfolio of products and services to meet the banking needs of the communities it serves.

First Priority Financial Corp. has total assets of approximately USD 615m. Headquartered in Malvern, Pa., First Priority provides personal banking, business banking and wealth management services through its seven locations in Chester, Berks, Montgomery and Bucks counties.

Sandler O'Neill + Partners, L.P. served as financial advisor and Pillar+Aught served as legal advisor to Mid Penn in the transaction. Griffin Financial Group LLC acted as financial advisor and Stevens and Lee, P.C. acted as legal advisor to First Priority.

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Publication:M2 EquityBites (EQB)
Geographic Code:1U2PA
Date:Jun 12, 2018
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