Overview
The BFKN Financial Institutions Group served as legal counsel to each of CBI Bank & Trust ("CBI") and Bank of Pontiac, in their acquisition agreements with Farmers-Merchants Bank of Illinois (“Farmers-Merchants”), whereby CBI will acquire Farmers-Merchants’ branch located in Joy, Illinois, and Bank of Pontiac will acquire Farmers-Merchants’ branches located in Paxton, Melvin, and Piper City, Illinois.
“We believe this transaction will be beneficial to both Farmers-Merchants and Merchants Bancorp by allowing Merchants Bancorp to focus on its core business of single and multi-family mortgage lending,” said Michael Petrie, Chairman of Merchants Bancorp. “The agreement strategically aligns Farmers-Merchants with institutions that share a similar business model and will provide Farmers-Merchants the ability to offer additional products to its customers. Both Bank of Pontiac and CBI Bank & Trust, like Farmers-Merchants, are deeply rooted in similar communities and share a strong commitment to serving their local markets. Farmers-Merchants and its employees have played a valuable role in Merchants Bancorp’s success and they will continue to thrive with their new partners.”
In addition to the branches, Bank of Pontiac will acquire approximately $157 million in deposits and $22 million in loans, and CBI will acquire approximately $62 million in deposits and $27 million in loans from Farmers-Merchants.
BFKN’s legal team was led by partner Abdul R. Mitha and associate Zoe Xiuha Uvin. Executive compensation & benefits were handled by partner Andrew K. Strimaitis.
To read more about this announced merger transaction, visit: