Guernsey Bancorp in Worthington, Ohio is buying the similarly sized Ohio State Bank in Marion.
The $130 million-asset parent of Guernsey Bank said Tuesday it would pay roughly $5 million for Ohio State, which has three branches in the Columbus area. As part of the deal, Guernsey would assume roughly $3.5 million in trust-preferred securities issued by the target's holding company, Ohio State Bancshares (OSBI). (That company is in turn 93%-owned by RBancshares.)
After the deal, Guernsey would have $235 million in assets and six branches.
Robert Patrella, Guernsey's chief executive, said in a press release that the merger partners "have exciting opportunities" in Columbus and Marion.
"We believe that the combination of our banks will enable us to assure that the customers and employees of both organizations are provided the financial and employment opportunities they deserve," added Mark Kelly, Ohio State's chief executive.
Houlihan Lokey, a boutique investment bank, advised Ohio State on the deal, which is expected to close in the fourth quarter.
